It is clear that tax reform will be on the national political and business agenda this year.
The Federal Government's commitment to produce a tax white paper to investigate options for an overhaul of our tax system ensures as much. But will the Government pick up the tax reform ball and run with it to the next election as they have hinted? Our tax system certainly needs such bold action and our economic and Budgetary position ensures that reticence is not an option.
Taxation is one of the most complex and delicate policy areas entrusted to lawmakers and administrators, with one misaligned lever in the boiler room prone to cause calamity on other decks.
So while tax professionals want reform, we also want it to occur in an ordered way that addresses known structural problems without creating unwanted or unforeseen new ones.
In 2014, let's hope our political leaders realise the imperative of soberly assessing the opportunities that genuine tax reform offers. The Tax Institute will be actively engaging with the Government on reform areas and we welcome contributions from members.
As always, please feel free to contact me or either of the Tax Counsel in the team: Stephanie Caredes CTA or our new team member, Thilini Wickramasuriya ATI.
We look forward to a successful and enjoyable year ahead.
The Tax Institute is Australia’s leading professional association in tax. Its 13,000 members include tax agents, accountants and lawyers as well as tax practitioners in corporations, government and academia.