Treasurer Rita Saffioti says case to retain its GST share has been strengthened by thousands of West Aussies

The State Government believes its case to retain its GST share has been strengthened by nearly 5000 West Australians who have said there should be no change. Treasurer Rita Saffioti, who has led the charge in defending the State’s tax take, said she had been surprised by the number of people wanting to have their say — with 95 per cent of submissions to the State Government’s website in favour of the current settings. Ms Saffioti said the Commonwealth’s decision on WA’s GST take was “the most important decision this decade (for WA).” Submissions to the Productivity Commission — which will review WA’s GST deal before making a final recommendation to the Federal Government — close this week, with the State pushing for last-minute opinions. Ms Saffioti said other states and territories were “jealous” of WA’s economic success. “There is a lot of jealousy. We feel it every time we go over east,” she told The Sunday Times this week. “The Premier feels it at Premier’s meetings, and I feel it from Treasurers’ meetings. “There is a lot of jealousy and that’s where the threats (to our GST) are coming from — other States constantly complaining about the deal.” But she doubled down against that criticism, saying the deal was crucial to underpinning WA’s way of life and to service a fast-growing population. “Major resource developments, they need infrastructure to help support them,” Ms Saffioti said. “So, whether it be roads, port expansions or homes, we are spending hundreds of millions of dollars each year to support economic infrastructure that supports these developments.” WA scored a huge victory in 2018 when the then Morrison Government legislated that WA receive no less than 75¢ for every $1 it sends to Canberra in GST receipts. Prior to that, GST’s take had shrivelled down to less than 30¢ at the expense of other states and territories who were living it large on what should have been WA’s money. “WA generates a disproportionate slice of national revenue through mining royalties and exports. Fairness means rewarding contribution, not punishing success. Keep the floor. Our infrastructure, jobs and future depend on it,” one submission reads. Another reads: “Reducing WA’s GST share, which is already lower per person than most other states would disproportionately impact regional communities and place further pressure on infrastructure, health, education and local services. “Maintaining the current 75 per cent per person is critical to ensuring fairness and supporting all West Australians.” In total, 4802 people participated in the WA Government’s submissions process — 84 per cent from the metropolitan area. Just over 70 were from outside WA, with the State Government late last year splashing out on an Eastern States advertising blitz to convince the rest of the country of its position. A summary of those submissions is contained in a 16-page document, which will be sent to Canberra as part of the Cook Government’s Productivity Commission submission. WA Treasury will also provide a separate document. “I am actually pleasantly surprised how many submissions we received,” Ms Saffioti said. “Five thousand is an incredible number. “These are the comments of real people in WA. It just shows how engaged our community is on this.” Since the GST 2018 deal was struck, WA has received $43 billion in GST grants — which would have been $14.5b without the 75¢ floor. This financial year alone WA is expected to receive $7.9b in GST grants. Without the 2018 reforms, WA would have instead received $6b less - or just 18 per cent of its population share.