Crisafulli Government fights for Queensland's fair share of GST
- Commonwealth Grants Commission proposes more than $5 billion of GST revenue be stripped from Queenslanders, including $2.4 billion next year.
- The proposed GST carve-up would cost Queensland critical funding for essential infrastructure and services.
- Queensland would be the only state to lose revenue while Victoria and New South Wales receive billions of dollars extra.
The Crisafulli Government has called on the Commonwealth to reject an alarming new proposal to strip more than $5 billion in GST revenue from Queensland and instead pass it onto Victoria and New South Wales.
At a time when Queensland is already facing significant fiscal challenges left by the former Labor Government, the Commonwealth Grants Commission has recommended the Queensland's share of GST revenue be slashed by $2.4 billion in this month's Federal Budget.
The bombshell proposal would be the biggest redistribution in the history of the GST and Queensland Treasury estimates the impact would be a reduction in the State's GST share of $5.3 billion over three years.
If the proposal is adopted, Queensland will be the only state to lose GST revenue from 1 July, while the share of revenue going to Victoria and New South Wales will increase by $4 billion and $1.3 billion respectively in the next year alone.
Treasurer David Janetzki said the Federal Government must act in Queensland's best interest and dismiss the alarming proposal.
"This recommendation would severely compromise Queensland's capacity to deliver essential services and infrastructure for our growing State," Treasurer Janetzki said.
"This must be called out for what it is, shonky shifting of Queenslanders' money for a better payout for New South Wales and Victoria.
"Queensland deserves better than this callous carve-up, which will leave Queensland missing out.
"The outcome of this review is based on disputed methodology, with Queensland left to foot the bill for the failures of New South Wales and Victoria during COVID-19.
"Queensland should not be penalised because of our strong resources industry or our decentralised population.
"The Crisafulli Government is restoring respect for Queenslanders' money which is why we'll fight for our fair share from Canberra.
"The ball is now squarely in Jim Chalmers' court and as a fellow Queenslander, he should be protecting the livelihoods of those who call Queensland home, not ripping the rug out from under our state."
