Daily BulletinDaily Bulletin

The Conversation

  • Written by The Conversation Contributor

In relation to this FactCheck on Australia and tax, a spokesperson for the Australian Council of Social Service sent the following by email:

As the sixth lowest taxing country in the OECD, there is scope for Australia for an adequate increase in public revenue to ensure we can meet the real impacts of growing health costs and unmet needs in areas such disability services, unemployment payments, and affordable housing. This should be achieved by firstly addressing tax breaks and concessions which do little to help improve employment and economic growth, but do a lot to reduce the revenue raised particularly in the personal and corporate tax systems.

Clear examples are negative gearing and capital gains discounting, discretionary truss and private companies and higher end superannuation tax breaks. This would have the added benefit of ensuring a greater revenue from the existing Medicare Levy. Whoever wins Government will have to take action on both the revenue and expenditure sides of the budget to ensure future sustainability.

(1) We were referring to the OECD revenue statistics (which as you point out rank us 6th lowest in the OECD)

(2) The Treasury paper is here – it’s the Government’s Tax Discussion Paper released last year.

(3) The Australian corporate tax rate is above the OECD average, though comparisons are complicated by our dividend imputation system, which means that company tax is refunded to domestic shareholders.

(4) As the Government’s Tax Discussion Paper shows in chart 2.4 (below), when social insurance taxes are included (as they should be), the share of direct taxes (mainly income taxes) in our overall tax revenue is close to average – not unusually high as some claim.

image Treasury (5) As the OECD’s Taxing wages publication shows, the overall labour income tax rate for a worker on an average wage is also low by OECD standards.

Authors: The Conversation Contributor

Read more http://theconversation.com/full-response-from-acoss-59306

Low-paid, young women: the grim truth about who this recession is hitting hardest


Vale Ennio Morricone: a master composer with breathtaking musical range


Role of Forensic Engineering in Structural Applications


The Conversation


Prime Minister Interview with Ben Fordham, 2GB

FORDHAM: Thank you very much for talking to us. I know it's a difficult day for all of those Qantas workers. Look, they want to know in the short term, are you going to extend JobKeeper?   PRI...

Scott Morrison - avatar Scott Morrison

Prime Minister Scott Morrison interview with Neil Mitchell

NEIL MITCHELL: Prime minister, good morning.    PRIME MINISTER: Good morning, how are you?   MICHELL: I’m okay, a bit to get to I apologise, we haven't spoken for a while and I want to get t...

Scott Morrison - avatar Scott Morrison

Prime Minister Interview with Ben Fordham

PRIME MINISTER: I've always found that this issue on funerals has been the hardest decision that was taken and the most heartbreaking and of all the letters and, you know, there's been over 100...

Scott Morrison - avatar Scott Morrison

Business News

SEO In A Time of COVID-19: A Life-Saver

The coronavirus pandemic has brought about a lot of uncertainty for everyone across the world. It has had one of the most devastating impacts on the day-to-day lives of many including business o...

a Guest Writer - avatar a Guest Writer

5 Ways Risk Management Software Can Help Your Business

No business is averse to risks. Nobody can predict the future or even plan what direction a business is going to take with 100% accuracy. For this reason, to avoid issues or minimise risks, some for...

News Company - avatar News Company

5 Ways To Deal With Unemployment and Get Back Into the Workforce

Being unemployed has a number of challenges and they’re not all financial. It can affect you psychologically and sometimes it can be difficult to dig your way out of a rut when you don’t have a job ...

News Company - avatar News Company

News Company Media Core

Content & Technology Connecting Global Audiences

More Information - Less Opinion