Economists are urging Treasurer Jim Chalmers to consider raising or broadening the GST, as new research from the e61 Institute shows it will cost $349 billion over the next decade to cut income taxes while still returning the budget to surplus.

Chalmers last week pledged to lead an overhaul of Australia’s tax system, which he said was aimed at lowering the burden on workers while raising other taxes to help plug the federal budget deficit.