House of Representatives
Sales Tax (Exemptions and Classifications) Amendment Bill 1988
Sales Tax (Exemptions and Classifications) Amendment Act 1988
Sales Tax Assessment (No. 1) Amendment Bill 1988
Sales Tax Assessment (No. 1) Amendment Act 1988
Explanatory Memorandum
(Circulated by authority of the Treasurer, the Hon. P.J. Keating, M.P.)FINANCIAL IMPACT
The proposal to remove the sales tax exemption for beer is expected to produce revenue of $330 million in 1988-89 and $420 million in a full year.
However, the related reform of the beer excise is expected to produce a decrease in revenue of $730 million in 1988-89 and $865 million in a full year.
The net loss from this proposal is expected to be $400 million in 1988-89 and $445 million in a full year.
Other measures in the proposed legislative package are expected to produce -
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- a net revenue loss of $6.6 million in 1988-89;
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- a net revenue loss of $7 million in a full year; and
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- a decrease of 0.03 percentage points in the CPI.