Also in the frame are capital gains tax concessions on property held for longer than 12 months, and negative gearing on property, both of which have been criticised for having unintended consequences, such as distorting real estate markets and driving prices beyond the reach of first home buyers. Jennifer Westacott (left), Innes Wilcox, Cassandra Goldie, Dave Oliver and Kate Carnell at the National Reform Summit in August. Credit:Louie Douvis "There was a very, very strong agreement that concessions needed to be looked at," said Business Council of Australia Chief Executive Jennifer Westacott. Moves to more strongly align the needs of industry with training and university courses were also embraced. "I think the more important discussion we've had today though is what is the nature of work ... and how you get a collaborative framework for lifting productivity and opportunity," Ms Westacott said.

The agreement to examine all ideas represents the first time in years that anything like a consensus over taxation reform has emerged between capital, labour, and welfare groups, with the support of the national government. Treasurer Scott Morrison, Prime Minister Malcolm Turnbull and Deputy Prime Minister Warren Truss at a gathering of leaders from business, unions and community. Credit:AAP The high-powered group, which had been invited to Canberra by Prime Minister Malcolm Turnbull to brief economic ministers on the results of its deliberations and particularly those of the National Reform Summit in Sydney in August, left the meeting in high spirits. They said issues over which there is disagreement, such as changes to the GST and weekend penalty rates, opposed by unions and the welfare lobby, and increasing the overall tax take, opposed by business and the government, would not be allowed to slow progress on areas of agreement. Given the heavy crossover of national/state responsibilities in areas like vocational training, it is likely the next step will see the main participants invited to be involved in some capacity in the December COAG meeting.

Central among priorities was the need to gear policies around higher growth, through improved support for low-income jobs and a move away from the Abbott government's work-for-the-dole approach. It is hoped this would lead to better targeted training for unemployed workers to prepare them for jobs in the emergent economy. Speaking after the three-hour meeting in the cabinet room, the heads of the ACTU, secretary Dave Oliver and president Ged Kearney revealed it was their first face-to-face discussion with an Australian prime minister since before the 2013 election. "Absolutely it's a step forward," said Ms Kearney. "Not once did I meet with the previous prime minister, so it's certainly a breath of fresh air." But Ms Kearney warned Employment Minister Michaelia Cash to expect absolute resistance if the government decides to take on unions by trying to remove Sunday penalty rates.

Employers representatives including the Australian Chamber of Commerce and Industry's Kate Carnell, the BCA, Ms Westacott, and the Australian Industry Group's Innes Willox, said it was refreshing to have all issues and ideas back on the table. Ms Westacott said the atmosphere was extremely positive with ministers expressing their thoughts freely and all parties willing to engage in genuinely flexible discussions aimed at lifting productivity. Mr Oliver said it was clear however, that some areas were not agreed. "No we have not accepted that an increase in the GST is required," he said. Mr Turnbull was joined at the meeting by Treasurer Scott Morrison, Finance Minister Mathias Cormann, Industry and Innovation Minister Christopher Pyne, Assistant Treasurer Kelly O'Dwyer, and others. Reserve Bank Governor Glenn Stevens also addressed the gathering.

The breakthrough in Canberra came as the new head of a national co-ordinating lobby representing the views of business said they are open to debating a review of tax breaks primarily benefit the rich - including superannuation concessions, negative gearing and capital gains tax - if there's an economic case and they are delivered as part of a wider package of reform. In his first major interview since taking over as head of the Business Coalition for Tax Reform, Frank Drenth, whose lobby group includes the nation's biggest business groups including the Australian Bankers' Association, Australian Chamber of Commerce and Industry, Australian Industry Group, Business Council of Australia, Financial Services Council, Minerals Council of Australia and Property Council of Australia, said business was open to having a debate about the areas that were seen by the previous Liberal leadership as taboo. Follow us on Twitter