LatestGoods & Service Tax (GST) 15 October 2026
New Study Suggests GST May Not Burden Poor As Much
New e61‑UNSW Policy Research findings revisit how Australia's GST affects households, showing that the tax's regressivity depends on the way income is measured. When consumption and disposable income are used, the burden on low‑income families appears smaller than earlier estimates, questioning the view that GST always hits the poor hardest.
The recent e61‑UNSW Policy Research paper reexamines the distributional impact of Australia's GST. The UNSW study suggests the tax may be less regressive than traditionally believed.
- Regressivity varies with income measurement method.
- Using household consumption and disposable income shows a lighter burden on low‑income families.
- Findings challenge the long‑standing view that GST always hits poorer households hardest.
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