Good evening.
Now that the new tax system has begun, you will have noticed that some things have risen in price, some have gone down and others have remained about the same. This is because of several things. You would be aware that many items are GST free, such as basic foods, most health and education services, eligible childcare and local government rates. In addition to this, the old sales tax with all its hidden and complex rates, some as high as 12%, 22% or more have been abolished with the introduction of the GST.
To help keep costs down in the country, diesel for heavy transport has been cut by 24 cents a litre. These improvements have benefited consumers, just as business will enjoy cost savings when they have the GST they pay refunded on things like fuel, postage and telephone calls.
It is reassuring to know that there is someone to watch over the introduction of the GST to ensure that shoppers are treated fairly and that savings to business are being passed on.
The government’s consumer watch dog, the Australian Competition and Consumer Commission has been given strong powers to ensure that consumers are protected. The commission can take court action against companies who exploit consumers with penalties of up to 10 million dollars. Those who break the law may also be required to give refunds to consumers and to publish corrections. Already the ACCC is monitoring more than 3 million prices across the country and across a wide range of goods and services. The new tax system is good for Australia. The ACCC is working to ensure that it is good for consumers as well.
Good night.