raiderup
"Question= why isnt tax policy neutral?
A brief glimpse at the NZ and Pommy system tells you,two things.
One have it on everything .
Two,it never stays at the initial rate."
I read somewhere that the GST in Australia could pick up an extra $20 Billion dollars per annum if it was applied to services such as education, water, financial services and I don't recall the other areas.
If the rate isn't going to change, hence the Government struggles to maintain revenue, then it should be applied to more items. As to the 'needy'??? Those income tested can get some sort of rebate and the rest can suck it in. And the means test should be scrutinised, not just some fancy accountant who can wave a pen and make a wealthy person hide all their income with loop holes. Maybe remove loop holes and have a flat 30% across all assets. Something better than the bludgers' system we have now.
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