On 29 November 2016, the Commonwealth Treasurer issued terms of reference for the Commission to review how it calculates State GST shares. The Commission is to use the principle of horizontal fiscal equalisation (HFE) to guide the outcome of this review and to report by 28 February 2020.


The Commission has developed a work program for the review in consultation with the Commonwealth, State and Territory Treasuries.

 

The Commission notes that the Treasurer has also tasked the Productivity Commission (the PC) to review the economic effects of HFE. In proceeding with its work plan, the Commission expects the work it does on its review in the period before the PC reports will also complement and assist the PC's work.

 


Supporting Material 

 

General consultation 

R2020 - Commission paper on the Principle of HFE and its Implementation

September 2017

R2020 - Staff papers on the Principle of HFE and its Implementation

May 2017

R2020 – Letter to States on the Work Program

December 2016

 

Consultation on Specific Assessment Issues

R2020 – Staff Research Paper on the Proposed Approach to Estimating Administrative Scale Costs April 2017

2020 - Terms Of Reference

The Commission received terms of reference for the 2020 Review on 29 November 2016