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Democrats urged to reconsider "Irish" position on food - tourism industry



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T o : Political editor PLS Resource Development

Tuesday 20 April 1999

DEMOCRATS URGED TO RECONSIDER “IRISH” POSITION ON FOOD -TOURISM INDUSTRY

The Australian Democrats should reconsider its position on the zero rating oL'basic food as the “Irish” option will disadvantage the restaurant and hospitality sector, managing director of peak industry body, Tourism Council Australia (TCA), Phil Young said today.

“Excluding basic food from a GST, but including restaurants and take-away food is discriminatory and would disadvantage the tourism and hospitality industries,” Mr Young said.

“Whilst the tourism industry greatly welcomes the support of the Australian Democrats to make inbound tourism packages GST free, we urge them to reconsider their position on food.

“The tourism industry supports the full taxation of food to ensure the price impact on restaurants is not compounded by falls in business.

“The Canadian experience of exempting groceries led to a sharp decline in market share of the food dollar spent away from the home.”

For information. Jenny Stevenson. TCA. Ph: (0419) 214 039 Olivia Wirlh TCA. Ph: (0417) 241399