Federal Treasurer Wayne Swan has announced plans to introduce structural tax reform over a ten-year period, sparking speculation that the mining and minerals rent tax may be delayed.

 

“I’ve said it before that tax reform would be a gradual process, something not for the next few years but for the next decade and beyond” Mr Swan told the Council of Small Business of Australia.

 

The Federal Government is expected to delay the introduction of the proposed minerals rent tax before parliament, despite the consultation period of the current exposure draft ending earlier this month.

 

However, Mr Swan remained confident that the introduction of the Federal Government’s proposed carbon tax would boost business. Mr Swan, who has previously warned of an emerging ‘patch-work economy’, said he believed that the tax will serve to reinforce confidence in the non-resources and mining sectors of the economy.

 

"After you account for increases in spending on electricity, gas and things like rent arising from the carbon price, consumers will still have about $1.9 billion of assistance to spend down at the shops,” Mr Swan told

 

Mr Swan hit out at the ‘dishonest’ campaign being waged against the resources tax by the mining industry, saying that the average Australian household would be better off under the proposed legislation.

 

"These are important considerations...the last thing Australian businesses need is a dishonest scare campaign designed to scare the pants off Australian consumers."