Review of Western Australian State Taxes 1994 - Chapter Twelve - Stamp Duty and Financial Taxes in the 21st Century
AbstractPart One of the Chapter examines the operation of the Stamp Act 1921 (WA) and notes the complexity of the provisions, which are in need of simplification and reform, the latter of which should include a consideration of technological advances in the area. The authors propose several reforms but note that although comprehensive reform proposals have been submitted in the past, they have largely not been implemented. It is suggested that this is due to the primary concern of the government with the substantial revenue-raising capacity of financial taxes. Part Two of the Chapter examines Financial Institutions Duty and Debits Tax and proposes a new tax regime which consolidates the two taxes -- the "Financial Institution Tax." The Chapter then examines financial taxes in the light of changing technology in the banking industry, and makes a number of predictions in relation to the taxation of financial transactions, including Smart Cards and the introduction of Financial Electronic Liability Tax, to be imposed on persons using electronic transfer facilities, and discusses the problems -- mainly constitutional in nature -- involved in the implementation of such a tax. |