This report argues that reform is required to allow for greater flexibility over penalty rates in what is currently a highly centralised system.

Executive summary: Behavioural taxes are taxes that are designed to influence behaviour against consumption. The application of behavioural taxes is fundamentally illiberal. They interfere with the rights and freedoms of individuals to make choices about their own consumption. Behavioural taxes generally take the form of excise taxes. Australia has a complicated and inconsistent form of...