CONTRIBUTION: WA’s net fiscal subsidy has grown to more than $8,000 per capita annually.

GST saga part of federation's history

Western Australia subsidised federal spending in other states by around $120 billion dollars during the decade to 2012-13, continuing a trend started after Australia abandoned protectionism in the 1980s.

The net fiscal subsidy, which is the difference between the amount raised through federal taxation in WA and federal spending, has grown to be more than $8,000 per capita annually, according to figures calculated by the state’s Department of Treasury.

In 2012-13, the most recent year for which data was available, WA’s net fiscal subsidy to other states was $20.5 billion.


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