News & Current Affairs
17 April 2014
Why not tax the rich?
OK, so a 1% wealth tax on the top ten percent would yield by my back of the envelope calculations $30 billion, an inheritance tax on estates worth more than $2 m a couple of hundred million if not more, taxing trusts as companies (Joe Hockey suggested it a few years ago but has been silent ever since) billions, taxing the top one percent of income earners (those earning over $250000 a year) at 100% with a 75% rate for incomes between $150000 to $250000 would also yield billions.
Imagine how much a real super profits tax would bring in, especially if it were to apply not just to mining companies but to the banks too. We are talking tens of billions here.
Halving dividend imputation would produce billions too. That's before we talk about increasing the company tax rate and getting rid of tax expenditures for business worth tens of billions.
Getting rid of the superannuation concessions for the top ten percent of income earners would save up to $10 billion, especially if coupled with abolishing or restricting negative gearing to stop switching from one rort to the next.
This could be just for starters.
Why aren't these taxes on the rich on the agenda, instead of attacking pensioners, sacking tens of thousands of public servants, cutting public transport, health and education spending and slashing funding to the mildly critical ABC and the world ranking CSIRO? I'll tell you why.
Because the priorities of this government, like all the governments before it, is profit, not people. The Abbott government, like Labor before it, is involved in an attempt to shift massive amounts of wealth to the rich from labour and the poor.