States defy Costello on tax reduction

State governments are poised to hijack the coming treasurers meeting in Canberra to reject Federal Treasurer Costello's calls for the abolition of state taxes calling the Treasurers claim that the states have received a GST windfall a “myth”. Queensland Treasurer Anna Bligh stated the states will not abolish any taxes, no matter the amount of pressure that Costello and the Federal Government may apply. States claim they are receiving the same proportion of the nation's economic pie as they were prior to the introduction of the GST.