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Information Technology And Telecommunications Industry Goods And Services Tax

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Speakers - Yeadon Mr Kim; Brogden Mr John; Nori Ms Sandra; Oakeshott Mr Robert; Gaudry Mr Bryce
Business - Division

INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS INDUSTRY GOODS AND SERVICES TAX
Urgent Motion

Mr YEADON (Granville - Minister for Information Technology, Minister for Forestry, Minister for Ports, and Minister Assisting the Premier on Western Sydney) [4.01 p.m.]: I move:
      That this House:
      (1) condemns the Commonwealth Government for its failure to properly support the information technology and telecommunications industry in New South Wales;
      (2) rejects the short-sighted plan by the Commonwealth Government to tax for the first time software and information technology and telecommunications services, jeopardising quality jobs and investment in metropolitan, regional and rural New South Wales; and
      (3) congratulates the New South Wales Government’s effort to foster and support information technology, making New South Wales the powerhouse of the region.

This matter is urgent because our State’s economic future is being put in jeopardy by the Commonwealth Government. The national Government has failed to support one of the most important sectors of the economy, the information technology sector. The Prime Minister and his forever changing Cabinet have failed the Australian people because their 1950s minds, which still believe that a television set is complicated to operate, cannot comprehend the importance of information technology to our society, our education system, our export trade and job creation.

The Commonwealth Liberal-National Government has the infamous distinction of presiding over policies and actions that have amounted to a decline in research and development and have failed to recognise the importance of the industry to the economy. The Prime Minister’s response to this pitiful collection of failed and absent policies is to tax the industry and its customers. The coalition is so bankrupt of ideas that its only answer to any question is a goods and services tax. There is no grand vision or grand plan for this country in the election policies being put forward by the Prime Minister; the coalition simply promotes a goods and services tax. [Quorum formed.]

The coalition would have us believe that a goods and services tax would save industry and save jobs. It will even save the whale, if one were to listen to the Prime Minister.

Mr Brogden: Do you believe this?

Mr YEADON: No, I do not believe the Prime Minister, and he does not believe what he is saying either. The coalition’s solution to every problem is a goods and services tax. A goods and services tax is not the new wonder drug for an ailing national economy with increasing long-term unemployment. It is no panacea. The Commonwealth Government has failed to properly support the vital information technology and telecommunications industry and now it wants to screw the industry into the ground by taxing its products and services for the first time. The information technology and telecommunications industry is vital to the future economic growth and prosperity of New South Wales and this nation. Importantly, that industry does not need the spectre of a goods and services tax burden that would have taxes on software and related services increase from zero to 10 per cent.

Mr Brogden: Come on!

Mr YEADON: There is no sales tax on software and related services. There is on hardware, but not on software. There is nothing in such a tax
Page 7896
that would directly benefit the industry. The Commonwealth Government stands condemned for its failure to properly support the information technology and telecommunications industry in New South Wales. Only yesterday the Australian Research Council released a report entitled "Information Technology: Sink or Swim". According to the Australian newspaper, the report demonstrates that information technology research currently being conducted in Australia is well below levels of comparable countries.

The Commonwealth Government’s policies of slashing tax concessions for research and development have taken their sad toll. The Howard-Costello slashing machine has damaged Australia’s research and development capabilities, which are essential to a vibrant and growing information technology industry. The Howard Government has been labelled a disaster for the telecommunications industry by the chief executive of JNA Telecommunications, Peter Davies. The Australian of 23 July 1998 reports Mr Davies as saying that "the Government had pulled out every form of assistance but had failed to form the partnership with industry that was crucial for success. The quotation from Mr Davies continues with the most damning line, "The present Government has zero understanding of this industry." The matter does not stop there. On Friday, 18 September, the Australian quoted damning statements on the Howard Government made by the President of the Australian Electrical and Electronic Manufacturers Association, Mr David Peaston. Mr Peaston is quoted as saying:
      My concern is that at the federal level there seems to be little recognition of the changes taking place . . . At a time when the Government has acknowledged the need for increased investment, we actually appear to be experiencing disinvestment.

Mr Peaston criticised in particular the coalition’s decision to cut research and development concessions. He went on to praise Labor proposals for supporting innovation, the creation of a national development authority and increased venture capital incentives. The imposition of a goods and services tax is the last thing this State’s business sector needs. The period leading up to 1 January 2000 is no time to inflict an unnecessary and unfair tax change, given the huge challenges already facing the business community. [Time expired.]

Mr BROGDEN (Pittwater) [4.11 p.m.]: I am pleased to lead for the coalition on this motion. My colleague the honourable member for Port Macquarie will also contribute to the debate. The motion comprises three parts, one of which provides the Minister for Information Technology with 10 minutes in which to tell honourable members about his great efforts. Paragraph (3) of the motion states:
      congratulates the New South Wales Government's effort to foster and support information technology, making New South Wales the powerhouse of the region.

Honourable members did not hear a word from the Minister about what he has achieved, not because he ran out of time but because he has not achieved anything. The Minister has an outstanding track record of disaster and failure with this industry and this State. Premier Carr was the last leader in this country to appoint a Minister responsible for this specific growing and emerging industry. The Premier chose this Minister - this failure - to be responsible for the industry

Honourable members will recall one of the Minister’s greatest marks during the administration of his portfolio: his inability to answer his email. How long did it take the Minister to answer his email? The Minister is silent on this issue. It took the Minister weeks to answer his email because he did not know what it was. He knows nothing about the industry. The industry regards the Minister as a failure and as a sad joke. New South Wales is losing opportunities because of the much better government and Minister in Victoria, the former progressive Borbidge Government in Queensland, the South Australian Government and even the Tasmanian Government. The Minister has failed to bring information technology industries to this State. The Government has relied on the fact that Sydney is the first stop for people when they get off the plane from silicon valley. The Government has assumed that people will therefore do business in Sydney.

Ms Nori: We are; they do come here.

Mr BROGDEN: Yes, but too many people go from the international terminal to the domestic terminal and travel to Brisbane or Melbourne. They get a better deal from the governments of those States than they do from our Government and its hopeless Minister.

Ms Nori: That is right, talk the State down. You do not know what you are talking about.

Mr BROGDEN: The honourable member for Port Jackson suggests that I am talking the State down - her Government is running the State down. The Government sits back and relies on the pathetic attempts of this hopeless Minister to draw industry
Page 7897
to this State. This Government’s great step forward in relation to using resources to try to bring industry to the State is to establish an office of information technology within the Premier’s Department. This shows the Minister’s weakness: he does not have his own department or an office that reports to him; it reports to the Premier. This is a hopeless attempt by the Government to co-ordinate information technology services.

The Government is struggling to find someone to fill the job because no-one wants to do it. People know it is a weak position with no authority and no capacity. Members of the Opposition know that headhunters are looking for a person to fill the position. When the position was advertised there were a huge number of replies but none of the applicants were acceptable. The Government sent out headhunters to find somebody but nobody suitable wants the job. The office is a small government agency within the Premier’s Department which has absolutely no teeth to implement and co-ordinate government strategies across the government sector and into the private sector to attract business in this State. I foreshadow that the Opposition will move the following amendment:
      That the motion be amended by leaving out all words after the word "House" with a view to inserting instead, "condemns the failure of the State Government to develop an information technology industry in New South Wales."

The Minister has attempted to suggest that the introduction of a comprehensive tax reform plan for Australia by the progressive Howard Government will destroy this emerging industry. That was a pathetic attempt by the Australian Labor Party to enunciate the lie that all goods and services will simply receive a flat 10 per cent goods and services tax. The Minister and the Australian Labor Party failed to mention in their attempts to beat the Federal Government around with a wet lettuce leaf that taxes will be abolished under the Howard Government’s tax reform plan.

The taxes to be abolished include: wholesale sales tax; financial institutions duty; debits tax; stamp duty on conveyancing and business properties; stamp duty on credit arrangements, and instalment purchase arrangements and retail hiring arrangements; stamp duty on leases; stamp duty on mortgages, bonds, debentures and other loan securities; stamp duty on cheques, bills of exchange and promissory notes; stamp duty on marketable securities, such as shares; and bed taxes. The Howard Government will abolish those taxes and put into place a fairer tax system that provides lower costs for all industries, including the information technology industry, across New South Wales and Australia.

The Minister failed to tell the House and the people of New South Wales that included in the Federal Government’s tax package is a new tax system that will significantly benefit Australia’s communication sector. Under the new tax system industry costs in the communications sector will fall by 4.9 per cent or $1.3 billion in 2000-2001 values. Businesses will be able to claim the goods and services tax paid on their communication services as input tax credits. Internet service providers will benefit from reductions in indirect tax costs and will be able to claim input tax credits on their inputs. Business users of Internet services will also be able to claim input tax credits.

Mr Oakeshott: That has quietened the whole argument.

Mr BROGDEN: It is a bit quiet now. My colleague the honourable member for Port Macquarie has recognised the silence in the Chamber. The Government is unwilling to come to terms with the abolition of a series of taxes for all industries in Australia, including the IT industry. Zero rated exports will increase opportunities for the industry to export out of this State. The New South Wales Government and the Minister are hopeless - they are unable to take the opportunities provided by the Federal Government with tax reform to progress industries and increase exports. Opposition members invite the Government to come to the party on tax reform.

The Opposition invites the Minister to understand that the GST, a growth tax, will be of benefit to the State Government. If the State Government benefits with a growth tax for the next six months before it loses the election in March 1999, the Minister should do something brave and constructive to look at payroll tax for IT industries.

The Government should use its powers to recommend to Cabinet that there be significant and genuine tax reform within the sector that the Minister purports to represent. That sort of tax reform will allow this emerging growth industry to move ahead. The Minister would admit that this is the sort of growth industry in which a company could employ a couple of people one year, and 20 or 30 people within the next year or two. Small business people are crying out for genuine payroll tax reform because they are reaching the payroll tax threshold very quickly.

Page 7898

The Government is doing nothing to provide small business people with an opportunity to grow. It is applying its harsh employment tax on them and destroying this industry before it gets a chance to start moving. This is a pathetic attempt by the State Government, a few weeks before the Federal election, to beat the Federal Government with the classic wet lettuce we have come to know and hate. I move:
      That the motion be amended by leaving out all words after the word "House" with a view to inserting instead, "condemns the failure of the State Government to develop an information technology industry in New South Wales."

Ms NORI (Port Jackson) [4.21 p.m.]: I am proud to present a case for congratulating the Government on its achievements to position the State as an information technology and telecommunications powerhouse within our region. Importantly the achievements of the Government are in stark contrast to the non-achievements of the Howard Federal Government. I will digress momentarily from the speech I have prepared to respond -

Mr Brogden: You prepared it? Did you write it? Are you sure you did not rip it off the Internet?

Ms NORI: I have made this speech on many occasions. Unlike the honourable member for Pittwater, I actually understand my speech and the issues involved. It is a pity that I have to digress just to answer some of his idiocies. If the Federal Government is interested in supporting innovative IT and T and technology generally, why did it rip off this State so badly in the provision of funds from the partial sale of Telstra, known as the regional telecommunications infrastructure fund?

Mr Oakeshott: $250 million.

Ms NORI: You do not even know what it is. You of all people ought to know because your electorate, your people, your constituency got ripped off. New South Wales received less than half the funding it was supposed to receive. It was supposed to receive $80 million but received only $40 million for IT and T - a Federal Government rip-off. Therefore, in Tasmania $207 per head of population will be spent on regional telecommunications infrastructure; in Queensland, approximately $53; and in New South Wales, a lousy $17 per head for people living outside Sydney, Newcastle or Wollongong. That is the great support of the Federal Government for IT and T! How will small businesses in the bush stay in business if they are not on line, if they do not have the telecommunications infrastructure and the cables? They will be out of business.

Unlike the honourable member for Port Macquarie, members on this side of the House care about small businesses in the bush. We know that if they are able to export and grow they will be able to employ people. That is the bottom line: giving a person a job. Why does the honourable member for Port Macquarie not get stuck into his Federal colleagues? He should ask them to give New South Wales a fair go where it counts, in the bush, instead of sitting there, smiling and talking about a matter that he does not understand. Sydney is home to an extraordinary concentration of companies working in a diverse range of IT, communications and multimedia fields.

Mr Brogden: Is she still going?

Ms NORI: You should have stayed in the Chamber and listened to my speech - you might have learnt something. Within a radius of 300 metres there are more than 100 of Australia’s top small- to medium-size computer, technology and multimedia firms. Australia now boasts in excess of 500 Internet service providers, and the highest level of activity is in New South Wales.

[Interruption]

The honourable member for Pittwater should understand that, although he does not like it. The Government is entitled to credit for its achievements in this field, which highlights the importance of this urgency motion and the potential damage of the Federal Government’s taxation policies on this vital and dynamic sector. Across the State there are in excess of 3,000 IT firms and 75 of the country’s top 100 companies in Australia are based in New South Wales. In addition, New South Wales employs 43 per cent of the total Australian information technology labour force.

The State hosts major research and development centres operated by Canon, Lucent, Fuji Xerox and Nortel, with most centres linked to their global networks. Since April 1995 the Government has welcomed more than 120 new regional headquarters and regional operations centres to Sydney. Nearly half of those companies are information technology or telecommunications companies. The list of companies established here is long and impressive and includes American Express, State Street, Data General, Capital Finance and Bankers Trust, Digital Nokia, Bell Laboratories, et cetera. Successive international surveys have acknowledged the quality of this State’s multilingual and business skills, our robust telecommunications infrastructure and our competitive wages and office accommodation costs. These attractions have enabled New South Wales to forge ahead in the arena of call centre development, which is growing by 25 per cent a year. [Time expired.]

Page 7899

Mr OAKESHOTT (Port Macquarie) [4.26 p.m.]: I am pleased to speak to the urgency motion. With 11 days to go to the Federal election, the scare campaign has started in earnest. Today the Federal Opposition showed that it has nothing to run with. The New South Wales Government has nothing to support it, and is running a desperate scare campaign. The Government is clearly wrong in some of its statements. There is no tax on business inputs in regard to software and IT and T services. The Government’s motion is completely wrong.

The first part of the urgency motion condemns the Commonwealth Government for its failure to properly support the information technology and telecommunications industry in New South Wales. The Commonwealth Government has spent $250 million of its $400 million regional telecommunication infrastructure fund. Has the State Labor Party told us how much it has spent in relation to regional infrastructure funds? Did we hear anything from the Minister? The big figure is a big doughnut.

I refer to call centres. In my home town of Port Macquarie the Commonwealth Government was kind enough to put in a Centrelink call centre employing 110 people, 75 of whom are locals. Local jobs in a regional centre are a great example of regional development using IT. Where did the New South Wales Government place its latest call centre? By crikey, I think it was in Sydney!

Mr Gaudry: Newcastle.

Mr OAKESHOTT: No, it was Sydney. The Government’s motion has tried to put the onus on the Federal Government for not doing anything for regional New South Wales, yet it has done nothing. It is pious in the extreme. The second point of the urgency motion rejects the short-sighted plan of the Commonwealth Government to tax software and IT and T services for the first time. We really need to send information to the Minister in relation to the tax reform package. The Premier supported changes to the package only a year ago. No tax on business is the clear point. This will be a huge winner for regional New South Wales.

Hardware has been left out of this urgency motion. The biggest cost in IT would be the hardware, but that has been left off. Wholesale sales tax will apply to hardware and it will be cheaper for people to be involved in IT and T. The third point of the urgency motion congratulates the New South Wales Government on its efforts to foster and support an information technology industry. This is the point in which I am most interested, because for four months I have had on the notice paper a notice of motion relating to this issue. I have a number of comments from the industry itself on how well New South Wales is doing in regard to information technology. I thought it would be appropriate during this debate to read some of those comments onto the record. I repeat that the Minister has had four months in which to bring on Notice of Motion No. 111 but instead, only 11 days from the Federal election, he has decided to bring on a scare motion. The notice of motion states:
      That this House -
      1. Notes the origins of SemiConductor Technologies Australia as a small silicon chip design facility in Sydney, designing several local chips including a laser printer chip for Pacific SemiConductor.
      2. Notes SemiConductor Technologies Australia this week [May 1998] moved to Victoria with a $60 million venture that will ultimately employ 40 designers to plan the applications-specific silicon chips needed by their local industry.
      3. Notes the comments of Managing Director, Mr Stephen Kim, that, "Comparatively speaking, the Victorian Government is more progressive than New South Wales - they wanted to work with us".

What an indictment on New South Wales! The notice of motion continues:
      4. Notes the words of industry best practice commentator, Mr Peter Roberts, that "New South Wales has neither the political leadership nor the bureaucratic depth to underpin the development of a complex industry such as silicon chips".

That is an indictment of the New South Wales information technology industry. It is a clear example that the industry has nowhere to go in this State and is being bled from this State to Victoria. We have exactly the same parameters in which to work as the Victorians, yet the Victorians are kicking our backsides on this issue. We could do an enormous amount more. The Federal Government is doing a lot in relation to tax reform, which will have huge benefits for information technology in New South Wales.

Mr GAUDRY (Newcastle) [4.31 p.m.]: The Minister for Information Technology, and the Parliamentary Secretary on State Development have shown the impact of the dead hand of the Howard Government and its goods and services tax on business initiative, particularly in relation to technology. At a time when emerging telecommunications technology is transforming business in Australia, the Howard Government wants to place a tax on users and subscribers. The imposition of a goods and services tax will mean that all telephone services, including standard telephone lines, facsimile lines, data lines, mobile telephones, Internet lines and on-line services will
Page 7900
cost more. Connection fees, maintenance, repairs, and service calls will rise. No doubt that will impact heavily on regional and rural New South Wales.

The information technology industry - an industry that is vital for the future of this country - already is suffering at the hands of the Federal Government and its policies. Investment in research and development has been slashed, there is little incentive to attract venture capital, and there has been inadequate training in skills development. For the Hunter region, the advent of the Federal Liberal-National Government brought a cut to regional development funding and the dramatic impact that that has had on potential projects in the Hunter. Mr David Peaston, President of the Australian Electrical and Electronic Manufacturers Association, was quoted on page 55 of the Australian Financial Review of 18 September as saying that at the Federal level there is little recognition of the changes taking place through globalisation and deregulation. In that same article Mr Peaston further criticised the Howard Government’s lack of focus on information technology and telecommunications, saying:
      This Government’s priorities very much relate to wool, wheat and minerals. It concerns me that we are sticking to the 1950s paradigms about what wealth is and how you generate wealth.

Information technology is a services-dependent sector. It is heavily dependent on a range of services that would attract a goods and services tax. Not only would services be more expensive, but the job-creation potential of this emerging industry would be seriously limited. People will find themselves paying a new tax on all follow-up services, including installations, upgrades and consultants’ fees. When it comes to industry development support and procurement policies, the Howard Government has favoured large United States-based multinationals at the expense of local companies. Not Australian companies, not New South Wales companies, not Newcastle companies, but American companies are making the big money out of the Liberal-National Commonwealth Government.

The local industry faces the potential burden of a new tax and the complexities and expense associated with compliance. There is no doubt that that would be a considerable impost on current business practice, but particularly on businesses that are looking to expand. Small- and medium-size retailing businesses again will be targeted as they struggle to compete with large multinationals for the computer consumer’s dollar. That matter was brought to my attention in Newcastle by thriving computer companies. With their inputs also subject to a goods and services tax, retailers’ costs must increase. With profit margins already tight, most retailers will be passing on these costs to consumers.

The Howard Government has done no favours for the information technology and telecommunications industry. In the Hunter region a great deal of work has been undertaken to develop the information technology and telecommunications industry. Hunter Advantage, a growth strategy prepared by the Hunter Regional Development Organisation, is a pro-active strategy to develop world-class information technology services in the region. That work was done in collaboration with government, business, universities and the community to form a viable cluster, to share information and expertise. The Hunter region should be congratulated on taking that initiative. The last thing that the region needs is a Federal coalition Government with an industry policy that is buried in the past and a tax package that will hinder rather than assist the success of information technology initiatives like that taken under Hunter Advantage. The dead hand of the goods and services tax, if it is introduced, will impact on business initiatives, on services, on maintenance and upgrading, and on software. It is the absolute dead hand of tax.

Mr YEADON (Granville - Minister for Information Technology, Minister for Forestry, Minister for Ports, and Minister Assisting the Premier on Western Sydney) [4.36 p.m.], in reply: New South Wales is clearly the information technology powerhouse of Australia. That is recognised by those within the industry and within government. The Government is proud of that position and is working assiduously to maintain and develop it. The usual arguments came from the other side of the House, from the tax-mad Liberal and National parties. They again put forward the lame argument that their planned goods and services tax will reduce the costs of business. That assertion is unfounded and misleading. It is nothing but a lie. It is as baseless as Mr Howard’s statement that under his Government there would never ever be a goods and services tax. We all know there will be no savings to business and the customers of business from a goods and services tax. Yesterday the point was taken up by Australian Financial Review leading analyst Brian Toohey, who said, in an article headed "Beware the Sales Pitch on the GST":
      Business is having the wool pulled over its eyes if it thinks a GST will reduce its costs.

Mr Toohey went on to say:
      The overall tax burden to be passed on to consumers will increase - not decrease - as a result of the Coalition’s tax package.

Page 7901

Services industries - such as information technology consultants, software programmers, designers, Internet providers, telephone services, mobile telephone services and pay TV - will be hit by new taxes. The list demonstrates that a broad array of businesses fall under the information technology banner. All that was offered from the other side of this House was a narrow dimension that the information technology and telecommunications industry consisted solely of hardware manufacturers. Certainly, hardware manufacturers are an important part of the industry, but they are only one of many players in that industry. There are huge benefits to be gained by New South Wales and Australia in some other areas, such as web design, software development and innovation core centres.

If we can get our act together in relation to information technology and telecommunications there will be huge benefits for New South Wales and, indeed, Australia. The Federal Government simply cannot do it. All State coalition governments have criticised their Federal colleagues because they are dragging the chain too much. Indeed, the Victorian Minister for information technology, the Hon. Alan Stockdale, brought forward legislation relating to privacy issues and the like because of the Federal Government’s dillydallying. The situation is woeful.

Mr Oakeshott: Where is your legislation?

Mr YEADON: The New South Wales Government is waiting for the Federal Government to take the lead on this issue. We will be joining with Victoria to push the Federal Government in the right direction. This Government has not hastened to introduce legislation and regulations because the matter must be dealt with nationally if we are to engage the global community. Ideally, the approach to information technology must be consistent. The old separate rail-gauge approach must be avoided. The level of frustration felt by other State governments is evident when a State coalition Government - the Victorian Government - considers it necessary to introduce legislation to spur on the Federal Government. In the online council the New South Wales Government, together with the Victorian Government, will continue to kick the Federal Government to ensure that these issues are dealt with quickly. The information technology industry has the ability to create extraordinary wealth for New South Wales and Australia, and we must ensure that we grab that potential.

Question - That the words stand - put.

The House divided.
Ayes, 49

Ms Allan Mr Markham
Mr Amery Mr Martin
Mr Anderson Ms Meagher
Ms Andrews Mr Mills
Mr Aquilina Ms Moore
Mrs Beamer Mr Moss
Mr Clough Mr Nagle
Mr Crittenden Mr Neilly
Mr Debus Ms Nori
Mr Face Mr E. T. Page
Mr Gaudry Mr Price
Mr Gibson Dr Refshauge
Mrs Grusovin Mr Rogan
Mr Harrison Mr Scully
Ms Harrison Mr Shedden
Mr Hunter Mr Stewart
Mr Iemma Mr Sullivan
Mr Knight Mr Tripodi
Mr Knowles Mr Watkins
Mr Langton Mr Whelan
Mrs Lo Po’ Mr Woods
Mr Lynch Mr Yeadon
Dr Macdonald Tellers,
Mr McBride Mr Beckroge
Mr McManus Mr Thompson
Noes, 41

Mr Armstrong Mr O’Doherty
Mr Beck Mr O’Farrell
Mr Blackmore Mr D. L. Page
Mr Brogden Mr Peacocke
Mr Chappell Mr Phillips
Mrs Chikarovski Mr Richardson
Mr Collins Mr Rixon
Mr Cruickshank Mr Rozzoli
Mr Debnam Mr Schipp
Mr Ellis Mrs Skinner
Ms Ficarra Mr Slack-Smith
Mr Glachan Mr Small
Mr Hartcher Mr Souris
Mr Hazzard Mrs Stone
Mr Humpherson Mr Tink
Mr Jeffery Mr J. H. Turner
Dr Kernohan Mr R. W. Turner
Mr Kerr Mr Windsor
Mr MacCarthy Tellers,
Mr Merton Mr Fraser
Mr Oakeshott Mr Smith
Pairs

Mr Carr Mr Kinross
Mr Rumble Ms Seaton

Page 7902
Question so resolved in the affirmative.

Amendment negatived.

Question - That the motion be agreed to - put.

The House divided.
Ayes, 49

Ms Allan Mr Markham
Mr Amery Mr Martin
Mr Anderson Ms Meagher
Ms Andrews Mr Mills
Mr Aquilina Ms Moore
Mrs Beamer Mr Moss
Mr Clough Mr Nagle
Mr Crittenden Mr Neilly
Mr Debus Ms Nori
Mr Face Mr E. T. Page
Mr Gaudry Mr Price
Mr Gibson Dr Refshauge
Mrs Grusovin Mr Rogan
Mr Harrison Mr Scully
Ms Harrison Mr Shedden
Mr Hunter Mr Stewart
Mr Iemma Mr Sullivan
Mr Knight Mr Tripodi
Mr Knowles Mr Watkins
Mr Langton Mr Whelan
Mrs Lo Po’ Mr Woods
Mr Lynch Mr Yeadon
Dr Macdonald Tellers,
Mr McBride Mr Beckroge
Mr McManus Mr Thompson
Noes, 41

Mr Armstrong Mr O’Doherty
Mr Beck Mr O’Farrell
Mr Blackmore Mr D. L. Page
Mr Brogden Mr Peacocke
Mr Chappell Mr Phillips
Mrs Chikarovski Mr Richardson
Mr Collins Mr Rixon
Mr Cruickshank Mr Rozzoli
Mr Debnam Mr Schipp
Mr Ellis Mrs Skinner
Ms Ficarra Mr Slack-Smith
Mr Glachan Mr Small
Mr Hartcher Mr Souris
Mr Hazzard Mrs Stone
Mr Humpherson Mr Tink
Mr Jeffery Mr J. H. Turner
Dr Kernohan Mr R. W. Turner
Mr Kerr Mr Windsor
Mr MacCarthy Tellers,
Mr Merton Mr Fraser
Mr Oakeshott Mr Smith

Pairs

Mr Carr Mr Kinross
Mr Rumble Ms Seaton

Question so resolved in the affirmative.

Motion agreed to.




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