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ARTICLE · 08 SEPTEMBER 1998

Labor Party On Tax Reform

AustraliaAccounting and Audit

Labor's tax reform package

On 27 August 1998 the Australian Labor Party announced its tax reform package, which is Labor's reply to the Government's tax package released two weeks earlier (refer "On Tax Reform" Issue 2). Tax will be the main battleground in the Federal election to be held on 3 October 1998.

Labor has made the following promises:

  • It will not introduce a GST.
  • From 1 January 2000, an annual tax cut for low and middle income working families worth up to $3,300 a year for a family with two children - cost to revenue in 2001-02 $3.1 billion.
  • The current family allowance taper is to be reduced from 50 to 35% meaning gains of up to $1,147 a year for low and middle income families - at a cost to revenue of $300 million annually.

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