Labour agrees to Coalition 30 cents tax rate cuts

Discussion in 'Property Market Economics' started by paulF, 24th Jun, 2019.

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  1. paulF

    paulF Well-Known Member

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  2. wombat777

    wombat777 Well-Known Member Premium Member

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    For that tax bracket, that means only 15c tax on capital gains for assets held more than 12 months.
     
  3. Scott No Mates

    Scott No Mates Well-Known Member

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    Pity we can't get income splitting :rolleyes:

    If the opposition had half a braincell between them, they should have gone down the line of allowing income splitting (ie two tax thresholds rather than than one but leaving the tax rate at the upper level) it would have curried favour with a larger audience. Of course that would require modelling but if you could achieve a similar outcome 'for working families' (but not for sole parents, singles or other single income households) there would be some kudos in that proposal.
     
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  4. Simon Hampel

    Simon Hampel Founder Staff Member

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    It would also have a side effect of making many trust structures redundant - many people use trusts primarily for the ability to stream income to the person in the lowest tax bracket. This has been paraded as a "rort" by some politicians.

    If they allowed income splitting to all families - it would not only reduce the requirement for trusts (when not used for asset protection reasons) but also make the same benefits available to all families.

    Unmarried people would be no worse off - since they don't get any tax benefits from a trust anyway (you could distribute to a company, but you don't get a tax-free threshold there - so it's not the same).
     
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  5. Scott No Mates

    Scott No Mates Well-Known Member

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    That would upset the accountants, reduce deductions and have some other benefits to the bottom line as well.
     
  6. SatayKing

    SatayKing Well-Known Member

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    Grumble, grumble bloody grumble. So us single households would done over again with income splitting. Sucks boo.:)
     
  7. Scott No Mates

    Scott No Mates Well-Known Member

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    There's nothing saying that you can't split your income with your companion goat. No one is going to judge you :oops:
     
  8. SatayKing

    SatayKing Well-Known Member

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    Those at the local lodge may. It's used for other purposes.
     
  9. turk

    turk Well-Known Member

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  10. Trainee

    Trainee Well-Known Member

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    Goats have tax file numbers?
     
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  11. Scott No Mates

    Scott No Mates Well-Known Member

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    The goat or the Lodge? (I didn't realise that you were privy to the 'handshake' ;))
     
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  12. SatayKing

    SatayKing Well-Known Member

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  13. Nodrog

    Nodrog Well-Known Member

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  14. Nodrog

    Nodrog Well-Known Member

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    Why stop at one.

    C9C15FCC-E8AA-488E-90EF-D44DEFF2A84D.jpeg
     
  15. oracle

    oracle Well-Known Member

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  16. Tony3008

    Tony3008 Well-Known Member

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    What doesn't change is the total cynicism of Australian politicians on both sides. Thinking you can set tax rates more than a couple of years forward is ludicrous. Coalition thinking is that if the economy takes a sharp downturn and they lose next time, Labor will probably find such tax cuts unaffordable: if they reverse them, they'll be pilloried, likewise if they let the deficit blow out. But perhaps good luck prevails, the Libs win next time and get the glory.
     
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  17. bumskins

    bumskins Well-Known Member

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    That would be an unbelievably expensive policy, orders of magnitude greater than what is being proposed. So not really in the same realm for comparison.
     
  18. Waterboy

    Waterboy Well-Known Member

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    would be nice if we had a flat tax rate above a living-wage threshold!
     
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  19. JohnPropChat

    JohnPropChat Well-Known Member

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  20. Simon Hampel

    Simon Hampel Founder Staff Member

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    The Coalition's longer term plan is getting pretty close to that ... no tax up to $18K, 19% to $45K and then 30% to $200K ... that's pretty flat.