Monday, 25th September 2006

Dear Reader,

Myth number 1 on the GST proposal: the Government says it would be neutral to the community. It wouldn't, (a) because of administration costs imposed on the community as well as costs incurred by Government in collection and enforcement; and (b) because the proposed offset includes cuts in profits tax, part of which would benefit overseas shareholders, who would not pay GST here.

One of the reasons the Government is scratching around for revenue sources is that it has given up billions of dollars of revenue to subsidise public transport - which brings us on to today's article...

Submission to Legislative Council on Rail Merger Bill (25-Sep-06)
In response to an invitation from the Legislative Council Bills Committee, editor David Webb urges the Government to stop wasting scarce legislative resources and rethink the rail merger proposal and its transport policy in general. If the proposal is not amended, we will lead a campaign for 300,000 minority shareholders to protect value by voting it down.

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David M Webb