Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

Hockey outlines tax reform principles

Treasurer Joe Hockey has outlined the key principles on which the government will base its tax reform agenda.

Tax&Compliance Staff Reporter 16 July 2015
— 1 minute read

Speaking at the PwC tax reform forum in Melbourne, Mr Hockey said the need to change Australia’s tax system is now understood and outlined the government’s principles of reform.


“First, it must promote a stronger economy, building jobs, growth and opportunity,” Mr Hockey said.

“Second, any reform must be fit for purpose in the modern economy. Third, tax changes must encourage workforce participation and ensure families control their own money.

“Fourth, generally, you should not be taxed until you have earned the income. Fifth, reform must encourage innovation and opportunity, and reward for effort. Sixth, as best as possible, the revenue raising capacity of each tier of government should be aligned to responsibilities of funding and service delivery.”

While tax reform is always a hard sell politically, Mr Hockey said Australians are now willing to embrace tax reform that is good for the economy and fair for all the community.

“There's an understanding of the need for change,” he said. “In the coming months, I'll be working with my colleagues to chart the best course — guided by the government's principles — to create a better tax system based on the best needs of Australia's rapidly changing economy.

“Our goal for taxation reform is unchanged. We want lower, simpler and fairer taxes,” Mr Hockey said.

Hockey outlines tax reform principles
image intro
accountantsdaily logo

The not-to-be-missed Accountants Daily Strategy Day will travel through Melbourne and Sydney in August to equip accounting professionals with the latest industry updates and tips for modern practice management as well as the latest cutting-edge technology, processes, strategies and trends shaping the future of accounting. Visit the website for more information: www.accountantsdaily.com.au/strategy-day