Julia’s insult to intelligent, hard working Australians
Obama explaining Julia’s plans to raise the tax-free threshold.
The Labor/Greens plan to lift the tax-free threshold from $6000 to over $18 000 in 2012-2013 is overtly one of bribery and a weaseling out of responsibility. The federal government will be less accountable due to the smaller pool of taxpayers demanding their hard earned dollars be well spent. Conversley there will be a larger group of voters very happy with the free ride.
However, the most wicked part of this plan lies in the less obvious insult and consequences:
According to the ATO, of all tax returns submitted in the 2009 taxation year, the 25% with the lowest income paid no tax at all. This 25% figure is set to rise significantly in 2012-2013 as the $18 201 tax-free threshold is introduced: the federal government estimates that ‘up to one million people’ will join the ranks of those earning an income but not paying income tax.
To have the work efforts of an extra one million Australians dismissed as inconsequential is disrespectful and offensive. Those supporting this change in the tax-free threshold are indicating that huge swathes of the population are sub-standard Australians and the work they perform, (tranformed into dollars on pay day) is so pitiful that they will not be asked to contribute to the benefits we all share as a community.
If we are to have an income tax scheme operating in tandem with consumption taxes, an exceptionally low tax-free threshold, (perhaps even a zero dollar threshold with very simple rules in the lower income brackets) accompanied by a small marginal tax rate for those in the lowest brackets, is far preferable to this plan. Some are capable of contributing more than others, but none should be exempt from contibuting at all. We need all Australian men and women to stand tall and be proud of what they do, each contributing at least a little of their labours. We do not need more decent hard working and intelligent Australians cast as incapable, wretched and reliant on the alms of those more productive.
More insidiously, the destruction of individual self worth is a step towards a totalitarian state. The current thinking in Canberra could be cast as ‘keep them fat, dumb and happy and soon we’ll be able to do what we like.’
This deal may not be as great for the masses as it appears on the surface.
http://www.ato.gov.au/docs/flash/webready/100people.html
http://www.futuretax.gov.au/content/Content.aspx?doc=FactSheets/personal_tax_system.htm