Transcript No. 2000/15

TRANSCRIPT OF

TREASURER

SUBJECT: Budget, National Textiles

(inaudible) with ACOSS’ demands for an extra $3.3 billion in spending?

Well, if the Government were to increase spending it would have to increase taxes, and

the Government doesn’t intend to increase taxes. In fact, what we’re about is

cutting and reducing taxes. So, we certainly won’t be increasing spending in an

unsustainable way which would require new taxes, because it’s our policy to reduce

taxes and keep taxes down and to keep spending tight.

What do you think about the emphasis of ACOSS’ priorities for spending?

Well, as I say, before anybody can talk about new spending they would have to be

talking about increased taxes and the Government doesn’t intend to be increasing

taxes. We want to reduce taxes. We’re cutting income taxes, we’re increasing

family allowances already, we’re improving the business taxation system, we’re

abolishing wholesale sales tax, and we’re introducing in its place GST. So we

won’t be going down the path of new taxes in the Budget.

Treasurer, what do you think about the reports of some of the contractors who have been

left high and dry by National Textiles, do they deserve some consideration?

Well, obviously in any insolvency the administrator will be putting together a plan

which best protects them and seeking to recover funds for them. And I have a great deal of

sympathy for those creditors, and I hope what’s put together by the administrator

will be of assistance to them. Thanks.