Call for GST hike creates first crack in teal solidarity

Climate 200-backed candidates are refusing to support Wentworth contender Allegra Spender’s call to raise the GST in the first major policy divide among the “teal” ­independents.

Independent candidate for Wentworth Allegra Spender. Picture: Richard Dobson

Climate 200-backed candidates are refusing to support Wentworth contender Allegra Spender’s call to raise the GST in the first major policy divide among the “teal” ­independents.

Ms Spender on Sunday said she would consider raising the goods and services tax under a review of Australia’s tax system, as she pledges to be open to working with both Scott Morrison and Anthony Albanese if there is a hung parliament. But Goldstein candidate Zoe Daniel and Mackellar candidate Sophie Scamps told The ­Australian that they do not back a rise in GST due to cost-of-living pressures.

It is the first time Climate 200-backed independents have taken opposing directions on policy, with almost all teal independents united by strong carbon emission reduction targets and a call to ­establish a federal anti-corruption commission.

Ms Spender, who is running against Liberal MP Dave Sharma in former prime minister Malcolm Turnbull’s old east Sydney seat, on Sunday said productivity was the “missing conversation” from this election campaign, including taxation, migration and innovation.

“I think GST should be on the table in a conversation about tax, it is a major part of our tax system,” she told the ABC.

“I think we should have a tax review and you look at areas such as stamp duty that is a drag on the economy … you look at payroll tax, you look at the business tax rates in this country,” she said.

Independent candidate for Mackellar Sophie Scamps. Picture: Supplied

Dr Scamps, who is running against Liberal moderate MP Jason Falinski, said she did not support a measure like raising the GST, “particularly with the significant cost-of-living pressures Australians are facing right now”.

Dr Scamps’s policy statement on her website states that she ­supports targeted lower taxes.

“For example, I support lower taxes for small businesses, however, I also support cracking down on tax avoidance by large multinationals so they pay their fair share.”

It marks one of the first major policy divides between the teal ­independents who are all ­campaigning heavily on climate action, namely that carbon ­emissions should be reduced by between 50 and 60 per cent by 2030 and a federal anti-corruption watchdog that can hold public hearings.

Independent candidate for Goldstein Zoe Daniel. Picture: NCA NewsWire /Brendan Beckett

Ms Daniel – a former ABC journalist running against Assistant Environment Minister Tim Wilson – said tax reform was an issue that must eventually be dealt with but she did not back changes to the tax system this campaign.

“I am not advocating for changes to the tax system at this election, nor are the major parties,” she said.

“I am on the record stating that tax reform is an uncomfortable problem that our government will eventually have to address and that I support a broadbased tax ­review.

“The principles I would use when assessing any proposal for tax reform from either side would be that any changes to taxation must be equitable, efficient and ­enhance our prosperity.”

When asked if she backed an increase to the GST, North ­Sydney’s teal candidate, Kylea Tink, said she supported a tax review but would seek advice about specific changes to the system.

“I support a broad tax review, but would seek expert advice on any proposals to ensure they would enhance growth and ­fairness to the state of the budget,” she said.

In Melbourne, Kooyong candidate Monique Ryan did not respond to a request for comment on Sunday, but said last week, in a ­debate with her opponent, Treasurer Josh Frydenberg, that it was not her responsibility to produce a detailed policy on tax.

“It’s very disappointing that neither of the major parties has brought any vision for tax reform for this country to this election,’’ she said.

“But it’s not my job as an independent to come up with a fully fledged idea for tax reform for this country.’’

Climate 200-backed Curtin candidate Kate Chaney did not ­respond to a request for comment.