Labour announced over the weekend that they plan to remove GST off fresh and frozen fruit and vegetables from April 1 next year if they are re-elected.
The news has been welcomed by the Restaurant Association, who says the removal will likely have a positive impact on the industry.
“The Restaurant Association says this policy will likely reduce the operational costs for hospitality businesses,” says CEO Marisa Bidois.
“By eliminating GST from these essential food items, we anticipate a reduction of in the core cost of food for our member businesses.
“With the costs of doing business rising exponentially over the last year putting increasing pressure on businesses, this is something many members have been supportive of.
“However, for this policy to be effective, it is imperative that if it does come to fruition, its implementation is both straightforward and practical.
“We emphasise the need for clarity and simplicity to avoid potential ambiguities that could lead to unnecessary complexities for businesses. One critical concern is the potential for uncertainties regarding the eligibility of certain items.
“In this regard, should this come into effect we would like to voice our desire to collaborate on its implementation to ensure a seamless and efficient execution of the policy.”
