Making Victoria’s Tax System Work intends to engage with the community on ways to reform and improve Victoria’s tax system.

Launched at a Victorian Chamber event by Victorian Liberal Leader John Pesutto, Shadow Treasurer Brad Rowswell, Shadow Finance Minister Jess Wilson and the Liberal and National parties’ Economic and Finance Team, the paper encourages Victorians’ feedback and views on one or every issue around:

• Victoria’s tax policy settings
• Payroll tax
• WorkCover
• Land tax
• Stamp duty
• Insurance taxes.

The discussion paper notes that both the Australian Bureau of Statistics and the Victorian Parliamentary Budget Office have found that Victorians pay the highest taxes of any State or Territory in Australia and that the Andrews Labor Government has introduced or increased nearly 50 taxes since being elected in 2014.

Speaking at the launch, Mr Pesutto said: “We know we need taxes to fund important services, but it can be done in a way which says to business nationally, globally, here is the best place to invest.

“We don’t want businesses to be stigmatised or demonised. We don’t want to see people who want to invest to be in some way criticised, whether explicitly or implicitly.

“We want that to be a virtue. We extoll the virtues we promote and encourage.”

Mr Pesutto added the discussion paper would have a strong focus on Victoria’s regions.

“We need to think about the entire state, whether it’s population, whether it’s planning, whether it’s liveability and amenity.

“The critical question for us is: do we as a state believe that taxation is the key to prosperity, or do we believe that investment and choice are the ultimate drivers of economic growth?

“We know just eight weeks ago the government published the budget and it says that economic growth is going to take a hit in the next couple of years. It says that debt and interest payments will go up.

“So digging deeper into our fiscal hole through higher taxes and ever-widening taxation bases can’t be the solution to our prosperity.

“Ultimately, if we are to build prosperity, it depends on many of you and the many thousands of businesses right across our great state, how we fuel that growth.

“It’s not just about material prosperity. It’s about opportunity for all Victorians, no matter where you live in this state. This is one of our most important pieces of work that we’ll be doing as an opposition.”

The discussion paper and subsequent engagement will help shape the Opposition’s tax policies. Submissions to this discussion paper close at 5.00pm on Tuesday, 31 October 2023.

Victorian Chamber advocacy

The Victorian Chamber is a trusted advocate at all levels of government. We work closely with our members, stakeholders and government and opposition officials to create a better business environment.

The Victorian Chamber will continue to engage on tax reform and pro-business policies and programs for the benefit of members and Victoria’s long-term economic prosperity.

Victorian Chamber Chief Executive Paul Guerra said: “The Victorian Chamber advocates on behalf of business for reducing the cost and complexity of doing business through tax reform among other things, and we work with all political parties to help Victoria to be the best place to do business in the country.”