CORONAVIRUS — GOVERNMENT REVENUE
549. Hon PETER COLLIER to
the minister representing the Treasurer:
My
question without notice is asked on behalf of Hon Dr Steve Thomas, who is away on urgent parliamentary business.
I refer to the impacts of COVID-19
on the government's revenue.
(1) Has there
been a reduction in stamp duty received in April and May 2020 compared with the
equivalent months in 2019; and, if so, what is the reduction?
(2) Has there
been a reduction in payroll tax received in April and May 2020 compared with
the equivalent months in 2019; and, if so, what is that reduction?
(3) Has there been an increase or decrease in iron ore
royalties received in April and May 2020 compared with the equivalent
months in 2019; and, if so, what is that difference?
(4) Will the government still receive its full amount
of GST expected under the new GST distribution paradigm, including a floor
in the state's share of GST?
(5) What is the total predicted impact of COVID-19 on
state revenue for the last quarter of the 2019–20 financial year
and the first quarter of the 2020–21 financial year?
Hon
STEPHEN DAWSON replied:
I thank Hon Dr Steve Thomas for some
notice of the question.
(1)–(2) Yes. Both transfer duty and payroll tax have been
weaker relative to the same period last year. This includes a decline of
36 per cent in transfer duty in April 2020 compared with the average over the
three months prior. Further information around these revenue streams will be
provided in the 2019–20 Annual Report on State Finances.
(3) Iron ore
companies lodge royalty returns on a quarterly basis and revenue from April and
May will form part of the June quarter 2020 royalty returns. The 2019–20
Annual Report on State Finances will contain a comparison of royalty
income over the June quarter 2020 compared with the June quarter 2019.
(4) The new GST
distribution arrangements will continue, including the guarantee of a minimum
70 per cent of Western Australia's population share of the national GST
pool. However, the state is still impacted by reductions in the size of the
national GST pool, which are expected to be significant.
(5) The economic
and fiscal update tabled in Parliament indicated that total general government
revenue over 2019–20 to 2020–21
is expected to be in the order of $1.8 billion lower under Treasury's
baseline estimates compared with the 2019–20 midyear review.