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ANU report critiques Albanese Labor government fresh food tax suggesting alternatives like charging importers for biosecurityANU report criticises Labor's fresh food tax, suggests alternative funding methods for biosecurity. Nationals' David Littleproud opposes levy, citing flaws and impact on farmers. Calls for its removal. By news@gippsland - 23rd February 2024 - Back to News A new report by the Australian National University (ANU) warns Labor's new fresh food tax is at odds with standard tax practice and doesn't pass critical scrutiny. The University's Tax and Transfer Policy Institute (TTPI) claims resistance to the levy from primary producers and bodies including the Productivity Commission is justified. 
Labor's tax burdens families and farmers, shifting biosecurity costs onto farmers. Confusion reigns; demands for its abolition arise from stakeholders Alternative levy approachIt also concludes an alternative approach to the levy is desirable, given the weaknesses of the proposed biosecurity protection levy and the fact there are other ways to fund biosecurity, including increasing charges for those who create biosecurity threats, such as importers and travellers, or funding biosecurity through general revenue. Leader of The Nationals David Littleproud said it was clear Labor's new biosecurity protection levy, set to be introduced on July 1, was not the best way to fund biosecurity and was instead unfairly targeting families and farmers. "The report states the revised policy's approach of setting the levy according to industry gross value product (GVP) is at odds with standard tax practice. Normally taxes would be applied on net proceeds, where production costs have first been subtracted from gross revenues," Mr Littleproud said. Levy design changesIn February 2024, the Department of Agriculture, Fisheries and Forestry (DAFF) announced changes to the levy design. Mr Littleproud said the report showed Labor didn't understand how it would obtain the levy from industry and its own explanation of calculating the levy didn't make sense. "Australian families and farmers will be impacted by Labor's new tax, which will force Australian farmers to pay for the biosecurity costs of international importers. The new levy is messy, confusing, complicated and not even Labor can work it out." "The process is clearly flawed and farmers have lost confidence in the system. Labor needs to listen to the strong concerns raised by Australian producers and now university academics and scrap this senseless new tax," Mr Littleproud said. Pictures from David Littleproud MP Facebook page.
Source: http://gippsland.com/ Published by: news@gippsland.com
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