GST Advisers Want Deeper Review on Tax System, Deloitte Finds
Australia – Majority of in-house advisers of the Goods and Services Tax (GST) have raised their concerns over the need for a deeper review of the tax system from the framework of GST, believing it is far more complex than any of the GST/VAT systems elsewhere, says a survey conducted by Deloitte.
GST, a value-added tax system that levies 10 percent on sales in Australia, is believed by most in-house industry advisers to have taken a broader perspective into different businesses in Australia, involving the responsibilities and priorities of the 139 advisers within the industry.
About 92 percent of the surveyed in-house advisers said they wanted to see the tax system from the framework of GST thoroughly reviewed, with the outlook being extended beyond the Board of Taxation that oversees the legality of tax system since its inception in 2008. Approximately 8 percent believed the GST system is less complicated and needs no further evaluation.
The survey focused on areas that tackled the resources of, relationships within, and lack of skills and expertise in Australian Taxation Office (ATO). It also focused on managing tax risk and the risk profile of GST by virtue of GFC, cash flow strategies, and effects of technology and data analytics.
Leader of Deloitte’s Indirect Tax services in Australia said the survey revealed the uncertainties of some in-house advisers over the basic concepts of GST ever since the tax system was created ten years ago. He also said their call for a deeper review into the GST system may be given realization in the Tax Summit next year.
However, Graham asked whether GST will ever be included.
Almost half of the surveyed said they were disappointed with the concepts of GST for ten years now, with two-thirds believing that laws on the tax system will face increased challenges in the coming decade, Graham added.