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On 22 November 2011 the State Tax Review Panel announced its decision not to continue the State Tax Review at this time, due to the limited ability to reform State taxation in the current economic environment.

While the Review has not resulted in the release of a final report, the publication of the State Tax Review Discussion Paper, and the hosting of public forums and round table discussions with industry and community groups, has generated valuable debate and will help to inform an ongoing future tax dialogue. The consultation process also gave members of the community the opportunity to speak directly to their elected representatives and policy makers about taxation matters.

At the recent National Tax Forum there was broad consensus that no state can undertake meaningful reform on its own. The Panel Members now consider that the best prospect for state tax reform will be through a co-operative approach driven from a Commonwealth level, working with other state and territory governments.

The Government will continue to raise the issue of tax reform through the Council of Australian Governments, the Council of Australian Federation and the Ministerial Council for Commonwealth-State Financial Relations.

The Panel would like to thank and acknowledge those who participated in the review, particularly those who provided the Panel with well researched submissions for consideration.

Media Release – Conclusion of State Tax Review

The Treasurer's presentation to the Tax Institute's Tasmanian convention on 13 October 2011 discusses the challenges in achieving tax reform, the current political and economic environment, and provides context to the Panel's decision not to continue the State Tax Review.