The Australian Association of Christian Schools (AACS) is calling upon the Victorian Government to urgently review their shock Budget decision to remove the payroll exemption tax for independent schools.
“Our schools hold grave concerns about how they will afford to pay this new tax,” said Vanessa Cheng, Executive Officer of AACS, “it will impose a disproportionate burden upon Christian schools that do not have large cash surpluses to draw upon.”
“The full ramifications of this decisions are still being absorbed by our schools who have been kept in the dark about how this tax will be applied,” said Ms Cheng.
“Our member schools have told us they will be forced to make some tough decisions to afford this new tax such as raising school fees, cutting staff or putting a stop to new building projects,” she said.
“Christian schools would not characterise themselves as ‘high fee’ with some of our schools only just scraping over the threshold. Our schools offer hard working parents an affordable faith-based education for their children and are the fastest growing schools within the independent sector.”
“With the rising cost of living starting to bite with increased interest rates and rising inflation, many parents will be simply unable to afford an increase in school fees.”
“We are concerned it is students who will be most hurt by this new tax, particularly if they are forced to change schools because their parents can’t afford an increase in school fees. Surely they have had enough to deal with after so many years of disruptions during COVID?”
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