While some state governments support reforms, most necessary changes require federal action, which is complicated by broader government funding responsibilities and priorities, raising concerns about the long-term viability of the arts sector.

There is widespread agreement among arts stakeholders that the current tax system penalizes creative work, prompting calls for reforms like tax exemptions on art prizes, grants, royalties, sales, and performance fees.

Sureshan stresses the cultural importance of poetry and the arts, warning that losing these expressions would impoverish society, and urges urgent policy changes to preserve Australia's vibrant arts scene.

Advocates argue that existing policies treat artists as salaried workers, ignoring the irregular, project-based nature of arts income, which hampers their financial stability and access to benefits such as superannuation.

Sashi Sureshan, a Sydney-based poet and writer, exemplifies these struggles by balancing part-time work with her creative pursuits, highlighting the mental and financial burdens caused by current tax policies.

Experts warn that tax reform alone isn't enough without adequate direct funding and policy support, emphasizing that arts and culture are essential to national identity and social well-being.

Australian artists face significant financial and structural challenges due to an overburdened tax system, worsened by the pandemic, economic pressures, and stagnant government funding.

Proposals include raising the tax-free threshold for creative income, similar to Ireland's model, and allowing income averaging over multiple years to better accommodate seasonal and project-based arts income.

The arts community also advocates for practical measures such as allowing direct donations with tax deductions for projects and offering tax incentives for consumers of arts-related goods and services to boost engagement.