Fed: Govt fails to dissuade 97 year old store closure over GST

AAP General News (Australia)
04-28-2000
Fed: Govt fails to dissuade 97 year old store closure over GST

MELBOURNE, April 28 AAP - Nothing can convince the owners of a 97-year-old Victorian
bush general store to remain open beyond the introduction of the GST.

The Wheatons' General Store at Miram in far western Victoria has been in the Wheaton
family for four generations, selling farmers everything from clothing to groceries to
stamps in the semi-arid district.

But store owner Les Wheaton said the complexity and cost of implementing the GST meant
the family would close down the store in June, before the tax system comes in.

"I'm disappointed. I'm going to very sad, on the day we close, it's going to be very
hard," Mr Wheaton said.

The federal opposition has warned the Wheatons will be the first of many business that
will be killed off by the GST.

Chris Jordan, chairman of the New Tax System Advisory Board, said he had tried to persuade
the Wheatons to consider a new simplified system released by the tax office earlier this
month.

But the Wheatons had remained firm in their decision to shut, he said.

"We've offered particular help to them and they've decided they don't want any more
help. They've made their decision," Mr Jordan told ABC radio's AM program.

"We did offer to send out a tax officer to visit them and also a GST signpost officer
who've come on board in the last few weeks to specifically help businesses such as this."

Mr Jordan said the simplified system would have suited the Wheatons, who face extra
complexity because of the wide range of products they sell, and exemptions that apply
to farmers.

But Mr Wheaton said the simplified system wasn't very simple at all.

"Even the guy who was supposed to know about the simplified method couldn't give us
information that made sense to us," he said.

"He couldn't tell us how we could implement it. It's not just as simple as they seem
to think it is."

Mr Jordan said it was inevitable that some businesses would face problems implementing
the new system.

"With such massive changes to the way our tax system operates there'll always be a
few problems along the road.

"I believe that they've got genuine concerns like a lot of other people have. There's
no doubt there's anxiety there."

AAP gf/jlw/as/bwl

KEYWORD: TAX WHEATON (CARRIED EARLIER)

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