The implementation of this tax system has not even occured yet, and has already wiped billions and billions of dollars off the value of the Australian mining companies.
Suggesting there are "too many fat cats with fat fingers" suggests to me that many are missing the point here.. this is just another attempt by the Rudd government to take profits from the smart businesses, and move it across to the governments coffers in the attempt to repair and recover the terrible position that their bank accounts are in.
We will have tax on tax on tax.. first the mining companies pay royalities before even lifting a spade, then when they finally get the first buck profit they will be taxed on that. They the workers for the company will be taxed on their wages (as normal), then when they release their reduced capital gains from their shares (some of which are salary sacrificed) they will be taxed on that. This is not to mention the GST, tax on the fuel they use to operate, shipping tax,export tax, payroll tax...the list goes on..
What the government seems to be forgetting its the flow on effect from this tax..the projects which will be terminated, which leads to termination of employees, which leads to accomodation vacancies dropping which leads to air passenger numbers dropping which leads to unemployment benefits rising which leads to housing defaults rising..
Where does it stop? I'm not suggesting all this will happen, but with the way the economny is going it may be the final straw to break the camels back.
These so called "fat cats" worked mightily hard to become who they are. They were every day Australia's looking to achieve thier dream, and along the way managed to help many many thousands of others acheieve their dreams.
Our labour government will ruin what we have in this nation if they dont at least look to amend their proposed super tax.
