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Assessing Local Government Revenue Raising Capacity

Commissioned study

This study has concluded. The final research report was released on 17 April 2008.

The Australian Government asked the Productivity Commission to examine the capacity of local government to raise revenue. Amongst other things, the Commission reported on the:

  • capacity of different types of councils (for example, capital city, metropolitan, regional, rural, remote and indigenous) to raise revenue and the factors contributing to capacity and variability in capacity over time
  • impacts on individuals, organisations and businesses of the various taxes, user charges and other revenue sources available to local government
  • impact of any State regulatory limits on the revenue raising capacity of councils.

In undertaking the study the Commission did not to investigate the scope for local governments to borrow.

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Media release: Productivity Commission research study into local government own-source revenue

Please note: The draft report is for research purposes only. For final outcomes of this inquiry refer to the inquiry report.

Draft report (PDF - 1719 Kb)