New photo GST on tampons is set to be scrapped from January 1 under deal struck with federal, state treasurers

A tax on tampons is finally being pulled with Australia's treasurers striking a GST deal.

Federal Treasurer Josh Frydenberg said there was 'strong agreement' among his state and territory counterparts about scrapping the GST on feminine hygiene products from January 1, 2019.

'So hopefully that becomes a formality today,' he told ABC Radio on Wednesday, ahead of the Melbourne meeting.

A tax on tampons is finally being pulled when Australia's treasurers meet to discuss reforming the GST (Libra promotional material pictured) 

It will be the first major new exception for the goods and services tax when fresh fruit and vegetables and bread were exempted under a 1999 deal with the Australian Democrats

It will be the first major new exception for the goods and services tax when fresh fruit and vegetables and bread were exempted under a 1999 deal Senate struck between John Howard's Coalition government and the Australian Democrats.

Queensland's Jackie Trad, the only female state treasurer, told Daily Mail Australia scrapping the GST on tampons had her '100 per cent support'.

'I have been lobbying the federal government on this issue since becoming Queensland treasurer,' the Labor Deputy Premier said.

The plan also has the support of Northern Territory Labor Treasurer Nicole Manison, the only other female treasurer at the meeting of nine treasurers.

Treasurer Josh Frydenberg said there was 'strong agreement' among his state and territory counterparts about scrapping GST on feminine hygiene products from January 1

The GST is collected by the Commonwealth but is mainly spent by the states, who receive the funding via the Commonwealth Grants Commission.

Scrapping the 10 per cent GST on tampons is set to cost the budget $30 million a year.

In June, the Senate passed a Greens motion to scrap the GST on tampons with Senator Janet Rice telling parliament it was a sexist tax on women's biology. 

'Australians have had enough - they want this unfair tax on sanitary products gone once and for all,' Senator Rice said.

Queensland's Jackie Trad, the only female state treasurer, told Daily Mail Australia scrapping the GST on tampons had her '100 per cent support'

'Menstruating is not a luxury.'

The federal Minister for Women Kelly O'Dwyer said millions of Australian women would benefit from the shift.

'We think that this is an unfair tax. We think it should be scrapped,' she told the Seven Network on Wednesday.

New South Wales Treasurer Dominic Perrottet told Sky News there was widespread support for removing tax among states, with his state absorbing the $10 million cost 'for a good cause'.

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News Pictures GST on tampons is set to be scrapped from January 1 under deal struck with federal, state treasurers

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Hayden Panettiere
Size: 8
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kim cattrall

Size: 10-12
Age: 52
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