Members also tell us that regulatory complexity, duplication across levels of government and delayed approvals are costly for business in time and money, as well as in terms of reduced productivity and innovation.
The Victorian Chamber advocates for a reduction in business taxes, including payroll tax, as well as the ongoing reduction in business regulation ('red tape') across businesses of all sizes and sectors. This includes (but is not limited to) food production, transport, health, construction, and manufacturing.
- Increase in the payroll tax threshold to $1 million and abolish payroll tax over the longer term.
- Reduce the payroll tax rate to 4.0 per cent for metropolitan Victorian employers, and 1.75 percent for regional Victorian employers.
- Conduct a review of state taxes, including the release of a Green Paper that identifies the costs and benefits of state tax reform.
- Reduce the average WorkCover premium rate to 1.20 per cent of payroll. This will keep Victoria competitive against states like Queensland which has an average premium rate of 1.20 per cent.
- Support the Red Tape Commissioner to fast-track red tape reduction in priority areas, including: environmental regulation, planning, government purchasing and heavily regulated sectors like transport and logistics, and food processing.
- Undertake a comprehensive independent review of the number, size, purpose and effectiveness of Victorian regulators that commonly interface with business.