I've been thinking about that issue, and have a fair solution.
I think if the pollies use their allowance to pay for their own Canberra property, then that allowance should be deemed as income and income tax should be payable on the $215.00. I reckon they claim deductions on their Canberra 'investment' properties !
If they spend their allowance on rent or a hotel (or similar) then the allowance should not be taxable.