Bottom line – SA cannot be worse off

The Marshall Government has reinforced its commitment that it will not support changes to the distribution of revenue from the GST that would leave South Australia worse off at a meeting of Federal and State Treasurers in Melbourne today.



South Australia will not support Federal legislation to alter the distribution of the GST unless that legislation contains an amendment that guarantees no state will be worse off.


“Consideration of changes to the distribution of the GST have revolved around an undertaking by the Prime Minister Scott Morrison that no state would be worse off,” said Treasurer Rob Lucas.


“This position is non-negotiable for South Australia and the guarantee needs to be built into any legislative change.


“Modelling conducted by the states indicates that in a range of scenarios South Australia and a majority of states may be worse off without a guarantee.


“Consequently, South Australia won’t support legislation unless the amendment is consistent with the promises that no state can be worse off.”


All Treasurers today supported the inclusion of a guarantee in the legislation although WA indicated they would support the legislation with or without a guarantee.

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