The relationship between the Federal and State governments in relation to revenue raising responsibilities now needs to be sorted out as a matter of urgency. However, the Women's Electoral Lobby says the focus on a GST as the only option for tax reform shows a lack of concern for either equity or democracy. Women's views are not being sought, even though as a group they are more likely to be further marginalised if a GST goes ahead. Public debate is being limited to one regressive option which will inevitably fuel the growing inequalities in wealth distribution in Australia. Women make up the largest proportion of low-income earners and generally have less assets and earnings than men.
Women are also more likely to be responsible for dependent children, and to be age pensioners.
They will therefore be disproportionately disadvantaged by a GST, which targets non-discretionary spending. The richest groups will benefit from effective tax cuts which will allow them to easily absorb GST-related price rises. The omission of gender issues from the debate is one example of the narrow range of discussion over tax reform. The desirability of tax reform has been accepted without public deliberation or consensus on what the intended goals of such reform should be. Absent from the topics for consideration are corporate tax reform, hundreds of millions per year lost through tax evasion, and the shifting burden of tax onto PAYE earners.