At 05:17 PM 30/5/99, Graham Young wrote:
snip
>
>I am also wondering what effect a GST has on Indigenous welfare versus the WST.
>
>Graham Y
>
A great deal actually.
Firstly indigenous groups in remote areaqs already pay a far higher retail
price for almost all goods than people in other places. Try buying a
blanket or clothing or a book or a video or a cassette tape on a remote
community and you will see what I mean. Prices are generally much higher,
in fact than, in other rural centres.
But probably more importantly the GST applies to services as well as goods.
Most of my work is done for indigenous groups (I'm an anthropologist who
works on land claims etc etc). Services, in most instances, currently
involve no WST component. They will therefore increase by at least the
full 10%. In many cases it may be more (increased compliance costs,
increases brought about by the general inflationary impact of the tax etc
etc. - I haven't done the sums yet , but I suspect the price of , for
example , anthropological services will increase between 10 and 15%.)
Other important aspects of indigenous infrastructure provision are likely
to attract similar imposts. We have all heard about the exemptions for
health and education, but what about general social welfare servivces (many
of which, in the current climate, are undertaken through sub-contracted
arrangements.) What about building costs? I'm not sure what the position
is with legal costs , but I haven't heard any suggestion that they are
exempt. etc etc.
Simply put, indigenous groups, the poorest section of the Australian
community, are likely to be be hit far harder than other people. This IS an
issue which has serious implications for the reconciliation process.
I haven't heard Meg Lees trumpeting great achievements in this area. Sadly,
I haven't heard her mention such matters at all. John Howard must be in
heaven. What he now seems to have is a new DLP, just like his hero Bob
Menzies !
Cheers
Rod
Rod Hagen
[EMAIL PROTECTED]
Hurstbridge, Victoria, Australia
WWW http://www.netspace.net.au/~rodhagen
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