What tax did Australia introduce nationwide on 1 July 2000?
Answer
Goods and Services Tax
Australia introduced its Goods and Services Tax nationwide on 1 July 2000.
The GST replaced the previous wholesale sales tax and several state and territory taxes. It was introduced by the federal government led by Prime Minister John Howard, following the A New Tax System reform program.
Australia’s GST is a broad consumption tax charged at 10% on most goods and services. Some supplies, including many basic foods, healthcare services, and education, are generally GST-free, while residential rents and certain financial services receive different treatment.
Although the federal government legislates the tax, GST revenue is distributed to Australia’s states and territories. This arrangement distinguishes it from a simple national retail sales tax collected solely for the federal budget.