Elon Musk, one of the world’s richest men, paid a “true tax rate” of about 3 percent between 2014 and 2018. Aber Christine, a flour vendor in Uganda, makes $80 a month and pays a tax rate of 40 percent.
...this is exactly what I said- the richest know how to legally structure themselves to reduce tax such that their effective tax rate is lower than ordinary wage earners.
...we have read about how partners of accounting firms have structured themselves in elaborate tax structures designed to reduce tax and these include trusts, which is what the current Govt is looking to review.
I am not in favour of wealth tax, because that is tax on money that is already taxed, which result in double taxation.
I am favour of reasonable taxation :
1. Remove (or at least reduce) all tax concessions, structures, loopholes and flatten the tax rate across the board
2. Introduce tax on M&A transactions including foreign acquisitions
3. Cap negative gearing to only 2 investment properties
4. Introduce tax on sugar
5. Zero tax holiday period on newly promoted industries and foreign investments
6. Criminal tax- magistrate levy and offence penalties
