Is it time Australia increased its GST rate?
We have the lowest Consumption Goods Tax rate in the developed world at 10%, plus we only tax a narrow range of goods.
Most countries apply the taxes at between 15 and 27%, across a much broader range of goods. The OECD average is 19.3%.
Our budget income from personal income tax, by far the biggest contributor at around 50%, really can't be pushed higher and will only drop as the workforce ages out without being replaced in equal numbers due to the lower birthrate. Automation will also reduce the workforce, adding to the burden on the budget is support payments.
Are we relying too much on income taxes?
#AusPol #IncomeTax #Taxes
We have the lowest Consumption Goods Tax rate in the developed world at 10%, plus we only tax a narrow range of goods.
Most countries apply the taxes at between 15 and 27%, across a much broader range of goods. The OECD average is 19.3%.
Our budget income from personal income tax, by far the biggest contributor at around 50%, really can't be pushed higher and will only drop as the workforce ages out without being replaced in equal numbers due to the lower birthrate. Automation will also reduce the workforce, adding to the burden on the budget is support payments.
Are we relying too much on income taxes?
#AusPol #IncomeTax #Taxes
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