Goods and services tax
Sir, — How can it possibly work? A loaf of bread can need farmer, miller, baker, supermarket, and customer. Taking two stages only and GST as 10 per cent the farmer’s $1 unit plus GST equals an invoice to the miller of 51.10. The miller’s cost is $l.lO, plus 50 cents labour equals $1.60. Now, is GST on that, or on material and labour only, of $1.50? The miller pays the Government and the farmer, and also charges the baker material, labour, and tax. When one adds packaging to the list and transport the amount of paperwork becomes mind boggling. Who will have the dedication to verify the charges back to their origins? How much will it all cost? Think of the parts in a car, radio, television. This is where price finally departs from any relation to cost. — Yours, etc.,
EDITH BARDON (Mrs). May 13, 1985.
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Press, 15 May 1985, Page 20
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150Goods and services tax Press, 15 May 1985, Page 20
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