TAXATION REVENUE AS A PROPORTION OF GROSS DOMESTIC PRODUCT (GDP)
The current price estimate of GDP is used to calculate the ratios. This is obtained by reflating the average chain volume estimate, derived from the three independent approaches, by the implicit price deflator derived from the expenditure-based estimates. GDP is as published in Table 43, Expenditure on GDP, Current Prices in the December quarter 2009 issue of Australian National Accounts: National Income, Expenditure and Product (cat. no. 5206.0).
Total taxation revenue as a proportion of GDP decreased from 29.5% in 2007-08 to 26.9% in 2008-09. As a percentage of GDP, taxation revenue for the Commonwealth Government fell from 24.2% to 22.1% and taxation revenue for state government fell from 4.5% to 4.0%. Local government remained unchanged at 0.9%.