Serious Tax Reform
Finance Minister Nick Minchin on tax reform:
“Serious, sustainable and responsible income tax reductions can only be delivered by reducing government expenditures,” the minister told the Liberal Party’s South Australian state council last night.
“Those who want further substantial income tax cuts should tell us all where they think the Government can and should reduce its expenditure to pay for their cuts.”
If Minchin isn’t willing to volunteer these cuts himself, doesn’t it follow that he is not interested in ‘serious, sustainable and responsible’ tax reform?
posted on 22 October 2005 by skirchner
in Economics
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The Gingrich wing of the GOP was “interested in serious, sustainable and responsible tax reform”. It did in fact target large fractions of government expenditure, including entitlement programs, for cutting. For his troubles Clinton abosultely hammered Gingrich in the 1996 Presidential and 1998 Congressional elections.
And Bush was forced to concoct “compassionate conservatism” in order to avoid the charge that he wanted to dismantle the welfare state.
So slashing Big Government is a bit of a political non-starter for the Right. Too many lower middle class people rely on sub-cost government services to maintain their status in the community. Not to mention the Battlers, RA-RA’s and Geezers.
In any case, privatization of community services and public utilities has not been the smashing policy success that so many on the New Right promised. Instead it has turned into a goldmine for financial engineers whilst industrial engineers (ie people who work for a living) have been asset stripped.
Do the names Enron and Macquarie Bank ring any bells?
Posted by Jack Strocchi on 10/23 at 04:02 PM
I’ve always hated Minchin, now I have one more reason.
I wish someone would cost this:
http://www.ldp.org.au/newsstory4.html
Malcolm T for PM!
Posted by .(JavaScript must be enabled to view this email address) on 10/24 at 02:02 PM
Costello has completely lost the plot!
http://www.theaustralian.news.com.au/common/story_page/0,5744,17070170%255E2702,00.html
PETER Costello has defended the rights of wealthy individuals to set up companies to avoid paying the top marginal rate of tax.
Despite the cost to revenue of tax minimisation schemes - such as incorporating - the Treasurer said yesterday the practice was strictly legal.
“There is nothing wrong with becoming a company. This idea that if you become a company that is tax evasion, that is wrong. There is nothing wrong with becoming a company,” Mr Costello said.
“It is not even tax avoidance.”
Posted by .(JavaScript must be enabled to view this email address) on 10/29 at 06:02 PM