Labor admits that Carbon Tax will increase GST costs on families says Ross Vasta

Local households will be hit even harder, after it was revealed that the GST will be added to consumer bills on top of the carbon tax, said Ross Vasta, Member for Bonner.

“Local families will pay the carbon tax on their energy bills, they will pay it on the necessities of life and now we find, they will pay it through increased GST collections”, said Ross Vasta.

“This is a tax on a tax.  A double whammy that will hit every household in Bonner”, said Ross Vasta.

Labor’s assistant carbon tax minister, Mark Dreyfus admitted that the carbon tax was in effect a secret increase in the GST saying:

NEIL MITCHELL:  And because of the carbon price, you will take in more GST revenue, correct?                                                                   

MARK DREYFUS:   Yes, I don’t think there’s any doubt about that

Ross Vasta said in the three weeks since the launch of the carbon tax, Julia Gillard and her senior ministers have refused to visit a single small business to find out how the carbon tax is impacting their costs.

“I call on Julia Gillard to come to Bonner and visit a small business in Wynnum, Carindale or Mount Gravatt and ask them how much the carbon tax has increased their costs and prices”.

“The carbon tax has increased the costs of electricity and gas, and now we find out, it will also increase the amount of GST collected”.

“The Coalition has a plan to abolish the carbon tax.  If elected at the next election, the Coalition will implement its plan to abolish the carbon tax on day one of a new government, with legislation introduced to abolish the carbon tax on day one of a new parliament”.

“Only by abolishing the carbon tax can we take the pressure off households and help businesses grow and create jobs.

Ross Vasta said there was a clear difference between the Coalition and Labor on the carbon tax.

“The Coalition has pledged to abolish the carbon tax. Labor and the Greens have promised to increase the carbon tax.”

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