Page 2057 - Week 10 - Wednesday, 25 October 1989

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here today contacted us this morning to let us know that there was a rumour going round on the first floor that today was the day that Collaery was going to "get" Whalan. That is true, and it is obvious that Mr Collaery is honouring his undertaking and has decided that today is the day. If he wants to hand it out, I am quite happy to take it, as long as he wants to take it back and he wants to hear about the South Australian lawyers.

Mr Kaine: On a point of order, Mr Speaker; might I ask what it is that we are currently debating? I thought we were debating a Bill.

MR WHALAN: In relation to payroll tax, it has to be clearly understood that in fact the Government has engaged in a process of consultation in relation to this matter, and the evidence in relation to that will be brought forward by the Chief Minister when this comes forward. What we cannot lose sight of, Mr Speaker, is the firm commitment of CARD to its position. I think that we are very fortunate in the ACT in having an organisation such as the Canberra Association for Regional Development, because they are a very well organised and a very representative group from the business community. They play an important role in terms of the relationship of our Government and the community, because CARD is the first point of contact with the business community. They are a genuine representative organisation.

They are relatively recent in their formation - they have only been in existence a very short period of time - but they have brought together and represent this community in a very sophisticated and effective manner. They are constantly in consultation with the Government on a whole broad range of issues. I respect the executive of the organisation. I respect the effectiveness of the officers of that organisation.

CARD does represent a particular ideological point of view, and, in exactly the same way that I respect your views on fluoride, I respect the right of CARD to hold and assert very aggressively their views on business matters. One of their views - and a very strongly held view - is on the question of payroll tax. In their presentation to the Government during the budget consultation process they lobbied the Government very heavily to eliminate payroll tax altogether in the ACT. They saw the elimination of payroll tax as being an effective way of attracting business to the ACT.

That is their argument. I do not believe that the elimination of payroll tax would be an incentive to businesses to come to the ACT. I do not believe that the existence of payroll tax is a disincentive to firms coming to the ACT. Essentially payroll tax is a standard tax which is applied to business operations throughout Australia and so in terms of incentives it could be described as being incentive neutral; it is not going to affect business location decisions in any way whatsoever.


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