Budget is in the shit, shall we raise the GST to 12/13 % and try to fix the deficits?

[AHLUNGOR]

I am no economist, but I just have this feeling and believe that while cutting Government expenses are imperative in levelling up the deficits but with a hostile Senate, there seems to be rather limited options available to the Government - with both hands tightly tied, may be raising the GST is one big step we have to take.

Think about the New Zealand economy:

They have a 15% GST since 2010 and this is their income tax rate:


2012–2013, same for 2014

Income Tax rate
$0 – $14,000 10.5%
$14,001 – $48,000 17.5%
$48,001 – $70,000 30%
Over $70,000 33%
No-notification rate 45%


And now compare that to the Australian Income Tax rate:


Taxable income Tax on this income
0 – $18,200 Nil
$18,201 – $37,000 19c for each $1 over $18,200
$37,001 – $80,000 $3,572 plus 32.5c for each $1 over $37,000
$80,001 – $180,000 $17,547 plus 37c for each $1 over $80,000
$180,001 and over $54,547 plus 45c for each $1 over $180,000
The above rates do not include the Medicare levy of 2%


And we have a 10% GST !


All things being equal, I love to pay those income tax the Kiwi's are paying................lol


If the mega computer at the Treasury can work out what will be the financial impact for the pending increase in the GST will have on the low income earners, people on government benefits, pensions etc. and give them the appropriate level of tax cuts, increases in their benefits and pensions., I think most honest people will be better off in getting a higher GST but with a tax cut and increased benefits.

I believe the broad based GST is the fairest way to tax the people, if you spend more, you pay more. And this is the only way to tax those people who pay No income tax, cash economy, black markets or tax cheats !! while we can't catch them all, at least we should be able to tax them more - that's my opinion.


I like to ask for the comments and opinions of all you smart brothers out there. what do you think ??

[harmony]

Hi brother
I dont like the GST being put on food, clothes and the basic necessities - ever

Another thing, using forecasts set out in the most recent budget, Australia's average interest burden is forecast to be about $953 million a month until June 2017.

These are challenging times.

Australia does have a revenue problem, because we are a mining based economy, and resource prices have fallen badly, so we get less tax from mining companies.

Spending may become an increasing problem
An ageing population requiring more healthcare and pensions, welfare spending always going up
Peoples expectations are greater - "pay for my childrens childcare" "pay me a pension (despite people owning property >$1 000 000 value, etc etc)", "I want Gonski education improvements". "I want a full disability support program". "I want free healthcare up to when I live to 100", "pay me tax cuts and I will vote for you at the next election"

New Zealand did increase its GST rate for the same reasons
Australia probably will do the same, but not in the current political climate
Most people dont yet believe we have an economic problem in Australia

Lower income tax rates would possibly win the next election.
Maybe you should be Election Campaign manager for one of the major parties ?

[dohdoe]

To be honest I'm sick of the government preaching to people like us to be lifters.

So here I am paying something close to 30% tax with my daily expenses also paying for gst while corporations like apple apparently only paid 80 million in tax on an estimated 5 billion profit. So to be asked to pay more tax when multinationals and other companies are not doing their part...hands off my money and ill be voting against any party that tried to increase taxes off us payg'ers.
End rant :)

[Sextus]

The trouble with "compensation" for raising the gst is that loooonnnnnnggggg after the "compensation" has worn off and been absorbed into cost of living increases, the gst is still there and always will be.

I'd be ok with broadening the gst base but leaving it at 10%. Because while this wouldn't apply to wage earners, I am sick of people looking at my invoices and thinking that I am getting the amount written at the bottom. I wish the f**k the government would get the f**k off my invoices and send out their 10% invoices separately.

[Licker]

I would definitely be in the favour of raising the GST, if that REALLY MEANT lowering the income Tax percentage.
I'm not so sure, people in the lower income brackets would appreciate that as much :)

However, I would not be too concerned about the debt Australia has (and the interest of it).

Now is actually a good time to even increase national debt.
The interest rates have never been as low as they are now. Cheap money.
When the interest rates go up, so does the price of commodities (like iron, which is the bulk of Australia's exports) and it will not be that big a deal to pay off the debt.

[CunningLinguist]

I would definitely be in the favour of raising the GST, if that REALLY MEANT lowering the income Tax percentage.
I'm not so sure, people in the lower income brackets would appreciate that as much :)

However, I would not be too concerned about the debt Australia has (and the interest of it).

Now is actually a good time to even increase national debt.
The interest rates have never been as low as they are now. Cheap money.
When the interest rates go up, so does the price of commodities (like iron, which is the bulk of Australia's exports) and it will not be that big a deal to pay off the debt.

Lickernomics!
Time to start a new political party, the Punting republic, the happy ending we had to have ...

[AHLUNGOR]

Lickernomics!
Time to start a new political party, the Punting republic, the happy ending we had to have ...

Is it true that the " No Land Tax " party has won a Senate seat in the NSW upper house ?

If true, what the ?

The Australisn way of life and economy is going to be ruined by all these little mini micro parties in both the state and federal levels !

[Wayne]

ideological crap - that's what it is all about. Taxing consumption is just silly, no matter what side of the political fence one sits. If you have faith in the market then surely raising the GST is counter productive, because you are placing just another barrier to that market. If, on the other hand, you understand the nature of corporate greed (its shareholders and specifically, its directors on ridiculous incomes) then raising the GST is just another regression. The rich get to pay a yet smaller proportion of their income in tax.

Axe the tax, that's my view. Its an original slogan too. Axe the tax, make the miners pay a fair share of our wealth that they are ripping out of the ground and place a barrier to fossil fuel use. Maybe we could introduce a price on carbon to compensate for a fall in iron ore prces. That might just stimulate a renewal energy industry. Now there's a thought.

[harmony]

Bro Ahlungor
You have a great point regarding the NSW Legislative Council Election, and microparties
Peter Jones, who is on the brink of a guaranteed $200,000 annual salary for the next eight years after his No Land Tax party attracted 75,000 votes, said he felt “torn” about his unlikely win and planned to take the election to the Court of Disputed Returns if ICAC refuses to investigate the Liberal Party.
Mr Jones consulted “preference whisperer” Glenn Druery prior to the election and appears to have benefited from a hefty donkey vote after his party secured the lucrative Group A box on the Legislative Assembly ballot paper.

Candidates for State or Federal elections should have to earn a minimum of 1-5% of the primary vote (ie on their own) to win a seat, and not just win by receiving preference votes from other candidates

http://resources0.news.com.au/images/2015/04/13/1227302/474116-c98c522e-e166-11e4-b60a-424ceb2f883c.jpg

Peter Jones, leader of the No Land Tax party.

But with respect Bro Ahlungor, you may have missed the bigger picture...
Fitness instructor and topless model Anastasia Bakss was a No Land Tax Candidate, and she received only 1392 votes in Heffron.
The good voters of Heffron didnt see her unique talents ? There needs to be a recount in Heffron.
Seeing more of Ms Bakss on the evening news, Lateline, Q&A, etc, would make politics far more interesting

http://resources1.news.com.au/images/2015/04/13/1227302/473561-c6126156-e1a7-11e4-a16e-c49b94c206d0.jpg
1392 votes: No Land Tax Party candidate Anastasia Bakss.

http://resources1.news.com.au/images/2015/04/13/1227302/473641-c53b4130-e1a7-11e4-a16e-c49b94c206d0.jpg
No Land Tax Party candidate Anastasia Bakss.

http://resources1.news.com.au/images/2015/04/13/1227302/473693-ce76e07e-e1a7-11e4-a16e-c49b94c206d0.jpg
No Land Tax Party candidate Anastasia Bakss.

http://www.dailytelegraph.com.au/news/nsw/ill-challenge-my-own-win-says-no-land-tax-nutcase-peter-jones/story-fni0cx12-1227302473719

[RoyalFlush]

I do agree with Lungor on this.

While the rich goes out to buy their luxury yacht, car, jewelleries and multimillion dollar properties, the broad based GST will there to capture a portion of their spending into the govt coffers.

Meanwhile the poorer citizens who have always been more vigilant in their spending, continue to be thrifty because this has been their way of life and they have to in order to survive. The 2-3% increase in GST wont constitute a huge percentage of their total expense over their total income.

Assuming everyone continues to live as before without any changes to their spending, the new system will make the rich pays proportionately a lot more. It also punishes the squanderer while rewarding the thrift.

And then by increasing the level at which income tax becomes payable will provide further reprieve to the poor.

[AHLUNGOR]

But with respect Bro Ahlungor, you may have missed the bigger picture...
Fitness instructor and topless model Anastasia Bakss was a No Land Tax Candidate, and she received only 1392 votes in Heffron.
The good voters of Heffron didnt see her unique talents ? There needs to be a recount in Heffron.
Seeing more of Ms Bakss on the evening news, Lateline, Q&A, etc, would make politics far more interesting

http://resources1.news.com.au/images/2015/04/13/1227302/473561-c6126156-e1a7-11e4-a16e-c49b94c206d0.jpg
1392 votes: No Land Tax Party candidate Anastasia Bakss.

http://resources1.news.com.au/images/2015/04/13/1227302/473641-c53b4130-e1a7-11e4-a16e-c49b94c206d0.jpg
No Land Tax Party candidate Anastasia Bakss.

http://resources1.news.com.au/images/2015/04/13/1227302/473693-ce76e07e-e1a7-11e4-a16e-c49b94c206d0.jpg
No Land Tax Party candidate Anastasia Bakss.

http://www.dailytelegraph.com.au/news/nsw/ill-challenge-my-own-win-says-no-land-tax-nutcase-peter-jones/story-fni0cx12-1227302473719


Why can't we have a politician like the 25 yr old Marion from France ??


http://cdn-europe1.new2.ladmedia.fr/var/europe1/storage/images/le-lab/pour-marion-marechal-le-pen-bachar-al-assad-a-le-merite-de-preserver-relativement-le-droit-des-femmes-en-syrie-7880/148661-1-fre-FR/Pour-Marion-Marechal-Le-Pen-Bachar-Al-Assad-a-le-merite-de-preserver-relativement-le-droit-des-femmes-en-Syrie.jpeg


https://pbs.twimg.com/media/Avq1_99CQAIXHUy.jpg:large



Her only down side: Well, as the poster has pointed out, is her small tits !!

[harmony]

Brother A.

Australia's Anastasia Bakss trumps France's Marion Maréchal-Le Pen

Thats my 2 cents

[harmony]

Brother Ahl

The latest news is that the 'No Land Tax' party leader did not get voted into the NSW Upper House...

http://www.smh.com.au/nsw/nsw-state-election-2015/nsw-upper-house-finalised-animal-justice-party-beats-no-land-tax-for-last-seat-20150417-1mn08y.html

NSW Upper House finalised: Animal Justice Party beats No Land Tax for last seat

The Animal Justice Party has secured the final spot in the NSW upper house, potentially thrusting issues such as puppy farms, hunting in national parks and the high rate of animal euthanasia onto the political agenda.

While the government will only need the support of Fred Nile's Christian Democratic Party to pass most legislation through Parliament, it may be forced to negotiate with new Animal Justice MP Mark Pearson on issues the CDP does not support.


http://www.smh.com.au/content/dam/images/1/m/n/5/m/8/image.related.articleLeadNarrow.300x0.1mn08y.png/1429240884210.jpg
Eight-year term: Mark Pearson of the Animal Justice Party

[milhouse88]

Thank god those No Land Tax scumbags didn't get a seat