There is broad agreement among economists, social security experts, business leaders and the community sector that Australia’s tax and transfer system needs structural reform: to lift productivity, realise the benefits of a net zero economy, fund the essential social services and infrastructure upon which we all rely, and reduce inequality within and between generations.
Yet we are told repeatedly that the restructure needed is “too politically difficult” to be attempted.
It wasn’t always like this, and it shouldn’t be. Governments are elected by the people to undertake the policy reforms needed to provide us with security and opportunity, and to ensure we all share fairly in Australia’s common wealth.
Shortly before handing down his first budget in October 2022, Treasurer Jim Chalmers acknowledged that we need a “big conversation” about what kind of country we want to be, and how we can pay for it, but in the years since, attempts at even minor tax reform have been frustrated by vested interests.
We cannot continue this way. Our children and grandchildren deserve better.
In February 2025, Per Capita and partners hosted the Community Tax Summit 2025, demonstrating that the community has the appetite for this “big conversation”, and show that a genuine, everything-on-the-table approach to tax and transfer reform is both needed and wanted in the next term of Parliament.
This document summarises the conversations at the Community Tax Summit 2025, held 20-21 February 2025.