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Legislative Assembly for the ACT: 2003 Week 8 Hansard (21 August) . . Page.. 3044 ..

MR SMYTH (continuing):

a massive $288 million more than he said he would receive, the Treasurer now has a golden opportunity both to reduce the level of taxes paid by Canberrans and to simplify the tax system.

Let the community not forget that Labor stands for higher taxes and big spending. In sharp contrast to Labor, the Canberra Liberals believed in reducing the burden of taxation. We had already started to reduce the tax burden on ordinary Canberrans by reducing motor registration charges by $10 million and increasing the threshold for payroll taxes for small businesses. As a result of the new taxation system, increased GST revenue offers a real opportunity to reduce the reliance of ACT public finances on property taxes. Indeed, the ACT is expected to receive $10 million more from the GST this financial year than originally expected, and we are already in a GST-positive situation.

Labor promised to be a low taxing government but, like all their so-called promises, you cannot believe them. On 26 May 2000 at the National Press Club, in what was dubbed the drover's dog speech, the then Leader of the Opposition, Mr Stanhope, stated, "We need a government that will focus on delivering quality services and low tax rates."We do need such a government, Mr Speaker, but Labor cannot and will not do it. This government has delivered neither quality services nor low tax rates.

Mr Quinlan, in the Canberra Times of 18 July 2002, said that his taxation philosophy was "as low as possible"-a low philosophy perhaps, but certainly not low taxation. The evidence belies his statements. On 7 April 2003, Louise Maher asked Mr Quinlan, "How many horrible new fees and charges are you going to inflict upon us?"I suggest that he probably said it flippantly, but Mr Quinlan replied, "Heaps and heaps and heaps."That is about the only time he has been true to his word.

Mr Speaker, this year's budget contained 11 revenue grabs disarmingly-I say "disarmingly"-called initiatives, although some of them were scrapped later. "Initiatives"is now Labor's code for tax increases. The previous budget contained five revenue grabs, as well as hefty increases in existing taxes and charges. Taken together with Mr Quinlan's aborted attempt to introduce a quite stupid new rates system, this government has put forward 17 new revenue initiatives, nearly one new tax or charge for every month in government. That is Labor showing its true colours.

Let's go through some of them, Mr Speaker. The Treasurer proposes to raise $3.2 million in additional revenue in gambling taxes, mainly from some of the neediest people in this community, that is, problem gamblers. This budget contains provisions to remove the concession on corporate restructure, raising an estimated $1.1 million, and a tax on the transfer of business assets over $1 million, which the Treasurer anticipates will raise $1.7 million.

We now have confirmation that the loan security duty will not be reintroduced, at least not in the short term. But do not worry about the impact; just slug them because they are businesses. It is clear now that the Treasurer did not like the open and accountable draft budget system that the Canberra Liberals had. He does not like to give his victims any warnings that they are going to be hit with new charges and taxes.

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