The Federal Treasurer released a discussion paper on 28 July 2011 in the lead-up to the Tax Forum on 4 and 5 October.

The Government has announced that the 3 main objectives of the Forum are:

1. Reform to make the economy stronger; 
2. Reform to make the tax system fairer; and
3. Reform to make the tax system simpler.

From the personal taxation viewpoint, the discussions at the Tax Forum will focus on:

1. Personal Income Tax;
2. Fringe Benefits Tax;
3. Savings; and
4. Superannuation.
   

However, the Treasurer has commented separately that ‘negative gearing’ will not be included in the scope of the discussions.

The Government has suggested some points for discussion under the broad topics above including:

• Are there ways to further reduce any disincentives to workforce participation?
• Are there opportunities to make policy changes to further simplify taxpayers’ interactions with the personal tax system?
• What is the best way for the personal tax system to be integrated with the business tax system in order to maintain the integrity and fairness of the overall system?
• Does the tax system provide the right support to Australians who locate to the areas where their skills are most in demand?
• Should consideration be given to moving towards a more neutral and consistent tax system for savings?
• Are there opportunities to improve efficiency in the housing market with alternate tax settings and policies?
• Are there opportunities to improve the rules for superannuation during the drawdown phase?
• Are there unintended or inappropriate concessions in the tax system that could be removed to help fund priorities elsewhere?
• Are there better ways to structure and deliver concessions?

A copy of the discussion paper can be found at:  http://www.futuretax.gov.au/content/TaxForum/discussion_paper/tax_forum_next_steps_for_Australia_20110729.pdf

Individuals who would like to apply for selection as a participant or an observer through this expression of interest process should apply online by Friday 12 August.

Whilst the ideals appear noble, will anything of value come from the Tax Forum or will it be 2020 Summit (http://www.australia2020.gov.au) revisited?

Questions

Please contact Michael van Schaik, Associate Director, Employment & Remuneration Services. 
Phone: +61 (0) 3 8635 1835
Email: mvanschaik@moorestephens.com.au



Contact

Michael van Schaik
T  +61 3 8635 1800
mvanschaik@moorestephens.com.au

www.moorestephens.com.au