Page 2175 - Week 10 - Thursday, 26 October 1989
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Mr Kaine used a further figure of a $6m increase in payroll tax by virtue of the amendments that I am proposing to make. That is simply not so.
Mr Kaine: That is incorrect. I did not say that. You are misquoting me, Chief Minister.
MS FOLLETT: Mr Speaker, I would like to clarify that matter. The amendments that we are proposing today should provide approximately $1.5m increase in our total payroll tax take.
Mr Kaine: Your explanatory memorandum says $1.8m, Chief Minister.
MS FOLLETT: The $6m that Mr Kaine quoted is, in fact, an overall increase in the payroll tax, and it is made up in large part by an increase in wages paid in the ACT and by expected employment growth in 1989-90. That employment growth we expect to be in the order of 2 per cent, about 3,500 jobs. Those two factors, increased wages and employment growth, are responsible for by far the larger part of the increased take on payroll tax.
I should also mention that the total overall payroll tax take for the year is some $65m. The provisions we are looking at today are approximately $1.5m. I put it to you that that is hardly a draconian increase in our proposed payroll tax take.
Much has been made of the consultation process involved in this matter. I spoke at some length on that during question time, so I do not propose to repeat my comments there, except to say that it is my genuine belief that the information on this provision has been widely available since 25 July 1989.
I think it is most regrettable that CARD, in particular, having taken part in the Government's budget consultative process, has left its run so late on this issue. We must remember that CARD includes representatives of the Chamber of Commerce, the Building Owners and Managers Association and the Master Builders Association, some of the groups which have been so active in the past 24 hours or so.
I think it is also extremely regrettable that CARD, in fact, cancelled its meeting with the Treasury officials in August. CARD cancelled it and did not reschedule it. I find it extraordinary that it is now claiming not to have been consulted. I do not know how you go about consulting people who so patently resist being consulted. I believe, Mr Speaker, that they have had every opportunity to put their view. I believe they are actually aware but embarrassed because they have slipped up.
Unlike the union movement, the Nurses Federation, the Teachers Federation, the Galilee people, any number of welfare and arts and community sectors who pored over
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