Monday, 9 November 2015

The nonsense of taxation "reform"

These last few months I have found it hard to get interested in Australian politics. All words and very little action. 
Oh yes. they are well spoken those Turnbull words. All sweet reason compared with the bombast of the man he replaced. But what actually do they mean? I'm damned if I can tell.
And the Shorten version? Just as confusing to my ears. Goodness knows what he actually stands for. Just try and skip through the daily door-stops repeating motherhood statements. 
These last few days the verbal nonsense from Liberal and Labor has centred around something called "taxation reform". A strange thing this reform of which they speak. It is reform without a stated purpose.
Buried away in the rhetoric of both sides there appears to be a view that at some time in the future - a future that only arrives after the next election - there will be a need for governments to raise more revenue. But let's not be specific. Let's keep to generalities about the object of taxation "reform" being to stimulate economic growth so that tax increases in one area can be offset by reductions in another with compensation available so that the changes can be fair to all.
In summary Turnbull and Shorten speak suggests there will be winners but no losers in this amazing thing called reform. 
Perhaps that assessment is a bit hard on Labor. They have a bogey-man called multinational companies that can be slugged despite no country anywhere yet working out a way of doing so. And then there are those people getting an advantage from the way superannuation is taxed. But please don't expect a clear answer as to how far down the income level Labor's extra tax will be levied. Don't want to frighten those aspirationals.

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