We have a few problems when discussing this.
If you raise and broaden the GST ( which I have no problem with ) the following things need to be done:
- the poor have to be compensated
- The States have to get rid of taxes that inhibit economic activity. as the HENRY Review recommended.
- The States need more revenue to compensate for the funds the Federal government are no longer going to give them
- It needs to gain more revenue to the States over and above the last point so the Federal government can cut income taxes ( from monies they no longer have to give to the States)
I do not have any problems with any of the above items but I do think it would be politically courageous.
I do agree with Noah Smith