Business Coalition for Tax Reform
Media Release

Monday, 6 February 2006

The BCTR’s discussion paper, Personal Income Tax Reform, released late last week, calls for an independent review of Australia’s personal income tax regime. The discussion paper is predicated on an “all in” approach and contributes to this by its preliminary discussion of a number of options.

The Chairman of the BCTR Mr John Stanhope today said “Our members are pleased to see that the debate around a wide range of options has already begun. This was precisely the aim of the BCTR in releasing the discussion paper.

“However, it is quite incorrect to suggest that the BCTR is supporting the abolition of negative gearing or any other specific policy option. As made clear at the outset of the discussion paper, it does not represent the policy positions either of the BCTR or any of its members.”

“Not all BCTR members support all of the models put forward in the discussion paper. Many members have their own views on certain points. The need for an inclusive debate across the full range of reform options is why the BCTR has called on the Federal Government to establish a thorough and dedicated review process, headed by a prominent Australian. Such a process would be able to develop a clearly structured plan to reform Australia’s personal income tax system,” Mr Stanhope said.

“The community's interests are best served by participants having the courage to put all options on the table at the outset. They are not served by ruling out any specific possible changes to the tax system at this early stage.”

As indicated in the BCTR’s Media Release of 2 February, Australia’s current personal tax system discourages workforce participation, and impedes jobs growth, investment and savings.

The Personal Income Tax Reform discussion paper can be downloaded from the BCTR website at: www.bctr.org

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The Business Coalition for Tax Reform is a coalition of business groups seeking to promote a more efficient and robust taxation system for Australia. BCTR members share a common vision: to create and implement a tax system that enhances business competitiveness and fairness, and assists in creating a business climate conducive to investment, growth, job creation and private saving.

The members of the BCTR include Australian Financial Markets Association, Australian Industry Group, Australian Institute of Company Directors, Australian Stock Exchange, Business Council of Australia, Corporate Tax Association of Australia, CPA Australia, Council of Small Business Organisations of Australia, Federal Chamber of Automotive Industries, Insurance Council of Australia, Investment and Financial Services Association, Minerals Council of Australia, Property Council of Australia, Real Estate Institute of Australia and The Institute of Chartered Accountants in Australia.

Contacts:

John Stanhope, Chair, BCTR through Petros Kosmopoulos, Communications Manager, Public Affairs CPA Australia 0414 702 608 or (03) 9606 9873.

Paul Drum, Business Coalition for Tax Reform, Chair of Personal Tax Sub-Committee and Senior Tax Counsel, CPA Australia (03) 9606 9701.