Friday, March 6, 2015

IGR-2015: Australia on-course to become the Cheap White Trash of Asia

Amanda Vanstone succinctly summarised the LNP worldview being pushed by Hockey's IGR.
 “The Rich aren’t to blame for being Rich, It’s Policy" (stupid)
Abbott/Hockey could balance the budget, increase Productivity, deflate housing prices and improve the 40-yr outlook with a low-cost, high-impact Policy: Reduce Tax Expenditures, the Treasury keeps tabs.

  • $45B/yr is spent of Capital Gains exemptions on main residence. The USA doesn't do this, why do we?
  • $30B/yr is spent on Superannuation tax discounts: the majority going to the top 10%. Equity suggests a cap.
  • $5-6B/yr now goes on Negative Gearing. If you earn a Salary, you're not in Business, don't ask for business deductions.
Compare to $6.4B/yr for GST on Food and $3.9B/yr for GST on Education.
Which is fairer: $80B taxes lost for most wealthy or $10B for everyone?

There are massive structural problems with the Australian economy that aren’t mentioned in Hockey’s IGR, nor being raised by the ALP.
Anyone under 40 has to be deeply concerned for their financial future as a result.

According to the Government:
The Intergenerational Report is the social compact between the generations – with our children, grandchildren, parents, grandparents and each other.
Yet there is no mention of Housing, Housing Affordability, Rental or Mortgage Stress, First Home Buyer rates, or even Household Disposable Income.

The Hockey IGR is the biggest con-job is Australian Political History. The average working Australian is being shafted so badly, they can’t imagine the outcomes. It’s the Great Australian Dream, not Workchoices or Co-payments, that is “dead, buried and cremated”.