David Leyonhjelm (NSW, Liberal Democratic Party) Share this | Link to this | Hansard source

I move:

That the Senate—

(a) notes that:

  (i) in contrast to New Zealand's comprehensive GST, Australia's GST does not apply to a significant range of products, such as various healthcare products and essential services, including water,

  (ii) healthcare products that are listed as GST-free in the A New Tax System (Goods and Services Tax) Act 1999 (the GST Act), an Act of the Commonwealth Government, include medical devices and aids, such as incontinence pads,

  (iii) the Minister for Health is empowered under section 38 of the GST Act to unilaterally declare additional goods to be GST-free—previous Commonwealth Health Ministers have used this power to make various goods GST-free, including condoms, lubricants, folic acid, sunscreen and nicotine patches and gums,

  (iv) GST on tampons and sanitary pads is estimated to contribute around $30 million to the $63 billion in annual GST revenues,

  (v) tampons and sanitary pads are essential healthcare products, and

  (vi) it is therefore inequitable for incontinence pads, condoms, lubricants, folic acid, sunscreen, and nicotine patches and gums to be GST-free on health grounds, and for water to be GST-free on the grounds of water being essential, but for tampons and sanitary pads to be subject to GST; and

(b) calls on the Federal Government to remove the GST on tampons and sanitary pads.

James McGrath (Queensland, Liberal National Party, Assistant Minister to the Prime Minister) Share this | Link to this | Hansard source

I seek leave to make a short statement.

Scott Ryan (President) Share this | Link to this | Hansard source

Leave is granted for one minute.

James McGrath (Queensland, Liberal National Party, Assistant Minister to the Prime Minister) Share this | Link to this | Hansard source

Under the Intergovernmental Agreement on Federal Financial Relations and under Commonwealth legislation, a change to the rate or base of the GST would need to be supported by all the states and territories, in addition to the passage of relevant legislation by both houses of the Commonwealth parliament. This process applies to section 38-47 of the A New Tax System (Goods and Services Tax) Act 1999, 'Other GST-free health goods'.

Anthony Chisholm (Queensland, Australian Labor Party) Share this | Link to this | Hansard source

I seek leave to make a short statement.

Scott Ryan (President) Share this | Link to this | Hansard source

Leave is granted for one minute.

Anthony Chisholm (Queensland, Australian Labor Party) Share this | Link to this | Hansard source

Labor supports removing the GST from sanitary products. But, given the need for state and territory support, we want to work with them to ensure they're not worse off through a loss in GST revenue. The fact is that the Liberals have little interest in making this reality. There's been a lot of talk but no leadership or action. The Howard government imposed the GST on sanitary products when the tax was first introduced. In 2015, then Treasurer Joe Hockey sought to blame the Australian Democrats for the impost, saying they had not excluded the products from the GST during negotiations on the tax. In 2015, Hockey said that GST should be removed from sanitary products and undertook to raise the issue with state treasurers. However, then Prime Minister Tony Abbott ruled out a change within days. In 2015, four Labor states and the then Liberal-National Northern Territory government supported removing the tampon tax. Federal Labor will continue to work with the states and territories and will have more to say in the future.

Derryn Hinch (Victoria, Derryn Hinch's Justice Party) Share this | Link to this | Hansard source

I seek leave to make a short statement.

Scott Ryan (President) Share this | Link to this | Hansard source

Leave is granted for one minute.

Derryn Hinch (Victoria, Derryn Hinch's Justice Party) Share this | Link to this | Hansard source

It's a disgrace that we're even discussing this. It's demeaning to women. It should not be happening. It should not have been brought in under the Abbott government. It's a thing that we should have just knocked over in two seconds flat. It is a disgrace that women are being put through this in this country, and that we're even discussing it in 2018 is Noddy Land.

Question agreed to.