Page 3453 - Week 12 - Wednesday, 18 September 1991
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MR JENSEN: I ask a supplementary question. Therefore, I can take it from the answer to the question that there are no funds specifically earmarked in the budget, and that means that the legislative program that you brought down was, in fact, a meaningless exercise. Is that correct?
MR CONNOLLY: Well, no, it is not correct.
X-Rated Video Tax
MR STEVENSON: My question is to the Chief Minister. I note that the expected revenue from the X-rated video trade is shown in the budget papers as being $200,000 - somewhat less than the millions of dollars this Assembly was told it would achieve. Would the Chief Minister indicate whether any action is being taken or is proposed by ACT or Federal authorities with regard to the non-payment of taxes by any people or companies involved in the porn trade?
MS FOLLETT: I thank Mr Stevenson for the question. I should advise that I have previously advised Mr Stevenson privately that section 97 of the Taxation (Administration) Act specifically precludes the commissioner from revealing any information about the affairs of an individual taxpayer, so I am not able to respond on his previous question.
But it is the case, Mr Speaker, that the commissioner has experienced difficulty in collecting assessments in respect of this tax. There is no doubt about that. The figures make that quite clear. Mr Duby's admission this morning that he was in error in the way that tax had been introduced and implemented, I think, makes it quite clear that the original intention of taxing X-rated videos has not been met, and specifically has not been met because of the way in which the Alliance Government sought to apply it. They were wrong. Mr Duby admitted that this morning.
I think it is also worth noting that the difficulties in collecting the tax are compounded by an action in the High Court which challenges the validity of the X-rated video taxing legislation. Mr Collaery alluded to that in his comments this morning. The commissioner does have to have regard to those proceedings in considering what further action he might take in regard to the recovery of any outstanding X-rated video licence fees.
MR STEVENSON: I did not ask for any specific people to be named. However, the question remains: Is the Chief Minister aware of any people or companies involved in the video trade that currently have action proposed against them? Yes or no would suffice.
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