By Aimee Chanthadavong
The federal government has released a draft bill to abolish the carbon tax as of 1 July 2014 with believe it will lower costs for Australian businesses and ease cost of living pressures for households.
As part of the draft, the Climate Change Authority will also be abolished.
In addition, the draft said:
“Liable businesses and other entities must pay all carbon tax liabilities incurred up to 30 June 2014 under the carbon pricing mechanism, the fuel tax credits system, excise or excise equivalent customs duties, or synthetic greenhouse gas levies.
“Liable businesses and other entities must pay their final carbon tax compliance obligations at the next payment time under the current legislated arrangements.
“Industry assistance provided under the Jobs & Competitiveness Program (JCP) and the Energy Security Fund will continue in 2013-14 for the purpose of meeting carbon tax liabilities.”
The repeal has been welcomed by the Australian Retailers Association (ARA).
“With the Government forecasting a $550 saving for families per annum, the ARA believes retail businesses could see the first real boost in disposable income into the retail sector in a number of years,” ARA executive Russell Zimmerman said.
“We are confident as retail businesses find savings from the abolition of the carbon tax that retailers will pass those saving on. The ARA welcomes the ACCC being asked to monitor savings being passed on so major utilities, suppliers and landlords will pass savings onto retailers who will in turn pass them onto customers.
“The ARA wants to see the abolition of the carbon tax on the Government’s schedule by the end of the financial year, and for businesses not being forced to wait for the new Senate next financial year due to uncooperative behaviour from Labor and the Greens.”
The Department of Environment is currently calling for public comment submissions on the draft by Tuesday 15 October 2013.