27 June 2017
Sydney, 26 June 2017: The almost universal chorus of concern at the South Australian Government’s proposal for a major bank tax reinforces its fundamental flaws, the Australian Bankers’ Association said today.
“The reaction from big business, small business, most media outlets and commentators and many politicians has been swift in condemning the proposed tax,” ABA Executive Director – Industry Policy Tony Pearson said.
“The strong consensus is that this will be negative for investment, growth and jobs in South Australia. The state needs incentives to attract business, not new taxes that will discourage businesses from investing in new projects and employing people.
“There is no policy rationale for this proposed tax for South Australia. All Australian banks – large and small – oppose it,” Mr Pearson said.
“The South Australian Treasurer said last week that banks are under taxed, yet the banking industry is the biggest corporate taxpayer in the country.”
Mr Pearson said other states would be misguided to follow South Australia’s lead in introducing a tax on banks.
“This should not set a precedent for other states. It is a classic case of poor economic management.
“We call on every Premier and First Minister to confirm they will not follow this poor policy precedent and instead will continue to foster investment, growth and jobs in their state or territory.”
ENDS
Contact: Stephanie Arena 0477 470 677
Latest news
The ABA has today released the findings of a strategic review undertaken by Accenture into the roll-out of Australia’s Consumer Data Right (CDR) regime. The CDR went live to customers of major banks in July 2020, and to customers of other banks in July 2021. Approaching 4 years since its launch, the ABA commissioned Accenture… Read more »
The Australian Banking Association welcomes ASIC’s approval of an updated Banking Code of Practice that will continue to drive better banking outcomes for customers. The updated Code strengthens consumer protections by providing customers with safeguards that are in addition to the law. ABA CEO Anna Bligh said this Code will provide an even higher… Read more »
Australia’s digital banking boom is continuing with payments by mobile wallets surging by 35 per cent in the last year alone, according to a new report released today by the Australian Banking Association. The 2024 ‘Bank On It’ Report shows that in the last year alone customers made $126 billion in payments with their mobile… Read more »