Gillard seizes on Abbott GST comments

AAP, with a staff reporter

Prime Minister Julia Gillard has seized on federal opposition leader Tony Abbott's refusal to rule out changes to the goods and services tax in a second-term of government.

Ms Gillard said Mr Abbott's plan for a tax "white paper" within two years was code for increasing the rate of the GST.

By not supporting Labor's school improvement plan, which came with a 10-year funding pledge in the budget papers, Mr Abbott would automatically jettison $5 billion in extra money for NSW schools, she said.

The prime minister said the opposition leader's use of the term "budget emergency" for the state of the books was a way of softening up the community for "more and deeper cuts".

"People should be asking themselves `What's next?'," Ms Gillard said.

Earlier, Mr Abbott says he won't make any changes to the goods and services tax (GST) without a mandate.

Mr Abbott said he had no plans to change the GST immediately.

"Anyone who wanted to change the GST, and that wouldn't be us, would have to get the agreement of every single state and territory because it is a state and territory tax," he said.

"And anything we might do arising from our white paper we would seek a mandate for, not at this election, but at the election after.

"We won't do anything without seeking a mandate."

Mr Abbott insisted prices would come down with the abolishing of the carbon tax, citing the introduction of the GST and the fall in prices from removal of the wholesale sales tax.

He said the Australian Competition and Consumer Commission (ACCC) was vigilant in policing the change to the GST.

"We will have the ACCC policing the removal of the carbon tax," he said.

"The government tells us the carbon tax has added 10 per cent to the price of power. It tells us it's added nine per cent to the price of gas.

"If the ACCC is out there policing these things, presumably that means a commensurate reduction in price."

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Yep, I can't wait for my power bill and petrol bill to drop like a stone, oh and about that little waterfront property I have out west of the Simpson ----
Gather heaps of timber Al, the present new cooling period commenced 15 years ago and the 1970s forecast iof a mini ice age is now appearing on the trend line at 2040. Climate changes all the time, warm, cool and in between periods within a band since time began. Solar activity has declined again.
Julia Mr Abbott did not say "under any govt I lead THERE WILL BE NO GST INCREASE" Julia what he did say is any changes to the GST , I will take to an election. That is the moral thing to do. Julia says "People should be asking themselves `What's next?". AND THEY ANSWER A COALITION GOVT
Michael, you are a man with short memory, or maybe you were not around when Howard, Abbott trainer and master, said that the "GST would never become part of Liberal Party policy", but he changed his mind and in 2000 we had the GST. You also seem to forget that both sides of politics supported a price on carbon in the 2007 election. What did it change in the Climate Science that led Abbott & Co to abandon their own policy? Australian voters had endorsed the introduction of the 'price on carbon' in 2007, and it was one of the condition to form a stable government after the deadlock election. I know that your side of politics never accepted the fact that the Independents didn't support Abbott who was prepared to splash cash around like confetti (how much did he offer to finance an hospital in Tassie?) in order to (a) obtain the key to the Lodge, and (b) call another election in record time. But that's politics!
Oh dear, gillard had a seizure! Maybe she should just calm down then. Tony says he will get a mandate from the people and all state/territory agreement before touching the GST. Hmmm, asking the voters... probably something gillard is not familiar with. No wonder she is confused! :o)
Yep, ask the voters! Exactly what Labor and the LNP asked in 2007 re putting a price on carbon. The voters agreed ... drum roll ... enter Abbott and his skeptics and what voters agreed to have in 2007 was no longer good in 2010. Did the Science change? No. Was there a major discovery we didn't know? No. All it happened was a massive scare campaign supported by uncle Rupert and led by charlatans and "Merchants of Doubt". What's that noise? baaaa baaaa baaaa
If I remember correctly, it was gillard that decided that the carbon tax was not an election winner so her and swan forced Rudd to drop it. She went to the 2010 election stating no carbon tax, then "changed her mind" to get her butt on the PM throne. All politics, nothing else. The game hasn't changed at all over the last 6 years and now gillard just wants the damned carbon tax to go away and disappear. No, the science didn't change, just gillard's mind. Uncle Rupert didn't have to do anything and the baaaaas you hear are coming from the Labor corridors of the big house on the hill in Canberra! lol :o)
Whats next? "This year we face the second largest 'revenue write down' since the Great Depression" Swan said.in his budget speech. An increase of $80 billion dollars a year in revenue is a 'revenue write-down'? If you are spending an extra $120 billion dollars a year and run short $40 billion, how can that be a 'revenue write down'. "People should be asking themselves" `What's the next lie?', ah Ms Gillard
No Anthony, it's really quite simple. They reckon revenue should be 7% this year but I reckon we are going well so I think it will be 12%. I am very good at my guesstimates so I now have $120M to spend. The fact that the revenue was only 7% means that the GFC, world economies and Abbott have made me have an actual revenue of $80M, making a revenue write-down of $40M. I have NOT overestimated, I have NOT made a mistake and none of this was foreseeable, so it's not my fault. Next year I am very optimistic about what we will take and have full confidence that we may even hit 14%. Good thing I know what I am doing, hey!! ..... and the beat goes on...... :o)
You are correct Mouse, it's quite simple. Professionals in the Treasury dept estimate an amount of revenue, just as you would in your own day-to-day budget based on your income and anything you can predict with some accuracy. The government doesn't wait for all the revenue to come in before it makes spending commitments, just like you when you put a deposit on a house with a view that your future incomes is going to cover repayments. Then something outside the control of government, e.g. a drop in commodity prices, happen and the income that was estimated to come in drops and you have a shortfall. Now the government has 2 choices, (1) stop spending causing the economy to slow down with all its consequences (e.g. unemployment, bankruptcy, etc.), or (2) go into deficit to be repaid when the situation improves. If your income was reduced, eg a slow down means that you would work 4 instead of 5 days/week, you would have to face a similar situation, (a) would you sell the house and incur all the costs associated with that, or (b) you would go to the bank and renegotiate your loan so that your repayments are within your means but the loan extends for another 3-4 years? I'm sure that you'll do (b). Therefore, why attempt to ridicule the decisions the Gillard government took when they are the most sensible and identical to the ones you would have taken. Yes, it's quite simple once you stop and think about. Unfortunately your comment confirms that most voters engage their mouth before engaging their brain. I suggest you reverse these actions, there is no need to copy what Tony & Co in everything.
Dante, while I commend your commitment to the gillard government, I must point out that not everyone sees things the way you do. I, obviously, am one of them. To be out by $Billions one year is bad luck, two years is not good, but 6 years in a row is just extremely bad management. You are quick to dump everything at Treasury's feet, the same one that Costello had remember, and they had the same access to everything they have now. The difference being Costello had a good understanding of his job and swan doesn't. Simple, yes it is. Don't compare what I would do with anything the gillard government has done. If I was in a situation where my revenue dropped dramatically, for a start I would immediately reduce my outgoings, not increase them. The fact that swan has been an economic incompetent year after year, "OMG the world is against me!!" and blames everyone and everything for his errors, with a government that supports this, it astounds me that there are still people out there that will stand up, hand on heart, and say he's making sensible decisions!! Most voters, that would be the majority would it
Dante, while I commend your commitment to the gillard government, I must point out that not everyone sees things the way you do. I, obviously, am one of them. To be out by $Billions one year is bad luck, two years is not good, but 6 years in a row is just extremely bad management. You are quick to dump everything at Treasury's feet, the same one that Costello had remember, and they had the same access to everything they have now. The difference being Costello had a good understanding of his job and swan doesn't. Simple, yes it is. Don't compare what I would do with anything the gillard government has done. If I was in a situation where my revenue dropped dramatically, for a start I would immediately reduce my outgoings, not increase them. The fact that swan has been an economic incompetent year after year, "OMG the world is against me!!" and blames everyone and everything for his errors, with a government that supports this, it astounds me that there are still people out there that will stand up, hand on heart, and say he's making sensible decisions!! Most voters, that would be the majority would it
Ooops, sorry, cat jumped on keyboard! Finishing my post... it would appear that Laborites are dismissive and derisive of anyone that doesn't follow their line. Sad, because a good debate is healthy and I do enjoy a good debate! lol You don't barrack for Collingwood do you?
when you are drowning you have cling to anything you can !!!