CAR PARKING LEVY

The Hon. I.F. EVANS (Davenport) (15:05): My question is again to the Treasurer. Can the Treasurer advise what the fringe benefits tax impact will be through the introduction of the proposed car park tax for car parking that the government provides its own employees?

The Hon. J.W. WEATHERILL (Cheltenham—Premier, Treasurer, Minister for State Development, Minister for the Public Sector, Minister for the Arts) (15:05): It has been asked and answered before. It depends on whether one increases the remuneration to the employees and, therefore, this is regarded as a benefit that flows through to those employees, in which case it has the effect of increasing the relevant remuneration to the employee and so, therefore, is not a fringe benefit but is in fact part of their remuneration package.

That would be the first possible means by which this could be dealt with. If it is paid for by the employee themself, of course, the question of fringe benefits does not arise. They are the only two particular circumstances that could arise: one is that the employer essentially meets the cost of the relevant levy and the second is that the employee themself meets the cost. If the employer meets the cost, it is dealt with through the usual PAYE tax system; if the employee meets it then it is their responsibility.