Property chat election time!

This supports my argument,mining is their largest growth area and also largest generator of revenue. Without mining WA is an economic basket case, Feds supported them for decades then China boom came to their rescue.

 

The grandfathering was explained very well - and the Libs played on that.

No matter. Democracy has spoken - no need to rake over or gloat smugly - time to get on with what needs doing. I've got two property purchases settling in 3 weeks ...

 

Must be a new record. 2 days to break an election promise.

ScoMo admits it is unlikely parliament can be recalled in time to pass the legislation required to amend the tax tables for 2019, so that the increased Low and Middle Income tax offset can be included in this years tax returns (up to $1080).

Oh well, the budget will be billions better off... will help his surplus commitment in 2020

 

Franking credit changes were NOT grandfathered for all, just some.
Marg

 

Those tax cuts were never promised to be backdated 12 months. No election promise ever is.

The intention is (and always was) that they apply from 1st July, 2019. If the parliament does not sit before then, leglislation can be backdated to that date.
Marg

 

Yes they were. Read the budget papers.

Lower taxes | Budget 2019-20

I’d like my $1080 now thankyou very much

 

I don’t think anyone would be as forgiving if Labor promised it and couldn’t deliver.

This is Morrison’s fault. It was in his budget, and he called the election at the time he wanted. He knew when writs would be returned and how long the senate count takes.

It’s a broken promise and should be called out as such.

 

Anyone who thinks franking credits were grandfathered has no understanding of this policy.

@TSK and @Lizzie, if you believe this post a link.

 

I was talking the property grandfathering ...

 

I read it that you were talking about franking credits as this was the section of TSK's post that you quoted in your reply.

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But did it...it was all grandfathered. How many people with outside of this group would it have affected. Franking credit refunds are major revenue drain and it needs to be fixed, current mob won't because they caused the issue in the First place.

 

My bad - shoot me

 

Refund of excess franking credits had bipartisan support. The "cuurent mob" are no more responsibile for the "issue" than Labor, who also voted for the policy. In case you missed it:

From Hansard

The then Shadow Treasurer, the Hon Simon Crean, MP, stated:

Although imputation credits can be used to reduce an individual's or a superannuation fund's income tax liability to nil, excess credits were of no value to taxpayers. This bill proposes to refund to taxpayers any excess imputation of credits that may be left after offsetting the credits against their income tax liability.

The classic example of such a situation is a low-income person who earns a little investment income—for example, a full rate age pensioner. They face no income tax liability on their income and therefore cannot obtain the benefit of the excess franking credits attached to the small amount of dividend income they receive.

Under this proposal, they will obtain a refund of their income tax from the Taxation Office, representing the excess imputation credits. Labor included this proposal in our taxation policy prior to the last election.

Therefore, we have no difficulty supporting the proposal because it is our policy. It builds on the major reform accomplished by Labor almost 15 years ago and it improves the current taxation situation faced by low income investors, especially retired Australians.

 

Yeap, and they tried to fix it but the government made it into a sound bite - retiree tax. Cuts will be made to vital services so that you can continue to you your financially irresponsible franking credits especially if you're a retiree.

 

They caused it by reducing the tax rate to effectively zero for retirees.

 

For the record - I believe retirees should be taxed at the same rate as everyone else and capital gains tax concessions should be removed. And I don't mind paying tax - it provides the services to that make this country so livable.

 

I am going to ask for evidence to back up that claim. It sounds wrong to me. Happy to be corrected .

In any case, people pay tax to contribute money to super, then have that money locked away for decades. I don't think it is reasonable to tax people for withdrawing money from super. It's like double taxation.

 

It's easy to throw around labels and names and claim a policy is irresponsible.

Full disclosure: I do not benefit from the policy to refund exceess franking credits and nor does anyone in my family.

I'll turn it around and quote Crean:

it improves the current taxation situation faced by low income investors, especially retired Australians.
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Personally I think it is irresponsible to take money away from low income investors and that is why this policy was rejected by the Australian public on the weekend. The fact that we are still arguing about it is absurd.