Posted March 10, 2018 06:00:01 AUSTRALIA has been told it will get a new system of GST and Customs duty rates, after the Federal Government announced a new model that will lower the amount of money that Australians have to pay.
Key points: GST rates will be reduced from 30 per cent to 15 per cent, and Customs duties will be cut from 20 per cent on the GST to 5 per cent Customs duty will be lowered from 15 per% to 5.5 per cent GST rates on petrol and diesel will be capped at 10 per cent and 10 per a litre of petrol and 16 per a lorry of diesel, but the rate on alcohol will be raised to 20 per per cent.
Under the proposed GST reform, Australians will pay a flat GST rate of 15 percent, but a range of rates will apply.
Customs duties on alcohol, cigarettes and tobacco will be removed from the system.
Mr Morrison said it would be “a massive change for the Australian taxpayer”.
“This is an overhaul of our taxation system, and one of the most significant changes is the elimination of the GST rate on fuel and alcohol, a tax that has been imposed on our country for decades,” Mr Morrison told a press conference on Monday.
“The Government has made it clear that we will be reducing the GST rates, but there will be a range, we will have different rates on different goods, but we will reduce the amount that we pay in customs duties.”
A Treasury spokesperson said the Government would introduce the new GST and customs rates on a rolling basis to give the Government time to review the proposal.
They were expected to be announced on April 3.
Taxpayers will also be able to use a new automated online system to pay taxes on their behalf.
Under a new set of rules, people who pay online will be able pay taxes by phone.
This will allow Australians to make more payments to help reduce costs.
Mr Abbott said people were “right to be sceptical” about the GST reform.
“People who don’t know anything about it or don’t trust the Government or don, or don;t like the way it works, then they should think twice about going to the shops or the post office and picking up their money,” he said.
He said a new scheme to provide people with online assistance with their tax payments would be rolled out over three years, and people could expect to see the new system rolled out by the end of the year. “
And if they don’t, they shouldn’t have to make that kind of investment.”
He said a new scheme to provide people with online assistance with their tax payments would be rolled out over three years, and people could expect to see the new system rolled out by the end of the year.
Mr Baird said people would be able “to go to a tax office, get their money, pick up their cheque, send it in and pay their taxes online”.
The Government’s reforms come after the Government announced it was raising the GST from 20 to 25 per cent from April next year, with the increase offsetting a $1 billion reduction in the GST on petrol.
The GST was previously 20 per and 15 per cents per litre.
Tax Office chief executive David Lewis said the new rate was a good start.
“There are a number of ways that we can work with consumers to reduce the burden on them,” he told ABC Radio Hobart.
“In the coming months, we’ll be working closely with the Government and the states and territories to explore the best way to deliver on its promises of reduced taxes, fairer taxes, a fairer economy and a more secure Australia.”
A spokeswoman for the Treasurer said the Federal Treasurer would “make a final decision” about what the new rates were by April next.