In the August 2023 Tax Insight survey, businesses were asked if they think Australia should consider increasing the GST if it means reducing income taxes?

As Members of Parliament advocate for tax reforms, including the expansion of the Goods and Services Tax (GST) and its rates, in order to finance reductions in individual income taxes, a critical debate unfolds on the fiscal direction of Australia. 

The proposition to increase the GST rate is met with varied opinions. Advocates argue that such a move could provide the necessary revenue stream to facilitate reductions in individual income taxes, potentially stimulating economic growth. 

On the other hand, skeptics express concerns about the potential impact on consumers and the overall cost of living. 

Out Tax Insights Survey add an intriguing dimension to this discourse, with 68% of businesses polled asserting that the government should indeed contemplate an increase in the GST rate

This underscores the complexity of the issue and suggests a divergence in perspectives within the business community on the most effective means of achieving a balanced and sustainable tax structure.