The National Forum   Donate   Your Account   On Line Opinion   Forum   Blogs   Polling   About   
The Forum - On Line Opinion's article discussion area



Syndicate
RSS/XML


RSS 2.0

Main Articles General

Sign In      Register

The Forum > Article Comments > Super the next sacrificial lamb in failed infrastructure model > Comments

Super the next sacrificial lamb in failed infrastructure model : Comments

By Karl Fitzgerald, published 11/4/2014

Now that investors smell a rat, workers are being lined up to foot the bill via their superannuation. But what of the economics?

  1. Pages:
  2. 1
  3. 2
  4. 3
  5. 4
  6. Page 5
  7. 6
  8. 7
  9. All
Rhrosty you have it totally wrong, back to front in fact. The last thing we should be considering is any increase in tax. Every increase, no matter where it is from seems to simply buy more bureaucrats, not infrastructure.

Sure lets cut not only middle class welfare, but all welfare. At the same time, lets get rid of a heap of bureaucrats, & cut their unfunded pensions back to that of the average grunt.

That fly on the wall at cabinet meetings would be well aware that the costs of future pensions will be but a flea bite, compared to the huge hole public service pensions will make. They won't say so, but that is one of their big worries.

It is not a matter of giving government more money to waste, it is a matter of making government operate on less that we need to achieve.
Posted by Hasbeen, Sunday, 13 April 2014 4:13:02 PM
Find out more about this user Recommend this comment for deletion Return to top of page Return to Forum Main Page Copy comment URL to clipboard
No, the cost of government and bureaucrats is NOT the main problem. What is gumming up the works are taxes like income tax and company tax which are large amounts for honest folks. We tax people for working or being successful in a profession, farm, fishing, or other business - instead, we ought to be praising them!
Another jackass tax is payroll tax. We tax employers for giving some people jobs, so that they can have self-respect and add to production etc. That's the opposite of what we ought to do!
Land prices go up far faster than inflation. That is a fact. So the increase is really unearned money. In recent years the Capital Gains Tax was introduced, and it partly covered that.
Stamp duty is charged on land transfers which could be to get closer to work, and it is also charged on insurance premiums. Stamp duty thus penalises people in later life who want to downsize their homes, and it punishes people who pay insurance so that they will not be a burden on society if accidents or calamities occur.
Instead of all these taxes, impose one simple 10 per cent land tax on all land that is not held by the Crown. Do NOT tax or rate people for erecting buildings or making other improvements to the land - just charge on the SITE VALUE only.
Posted by John C. Massam, Sunday, 13 April 2014 7:09:53 PM
Find out more about this user Visit this user's webpage Recommend this comment for deletion Return to top of page Return to Forum Main Page Copy comment URL to clipboard
John C, rates have always been an issue as they simply rise with the value of the land. What should happen in my view is that rates should be capped after five years of ownership, then stay capped until the house is either sold, no longer used as the principle place of residence, or the owner passes on. At that point the ratable value can be re valued for the incoming owner, then this new figure can be advised as part of the buying process. At least this way people would not be forced from their homes due to unaffordable rates.

As for taxes, it is my view we must switch over to a financial tax, one that taxes money, not people. At least then, the more money one has to spend, the more tax they pay.

Implemented properly, it would see and end to all other forms of tax including GST, stamp duty, income and company taxes (including pay roll tax) , it would even negate the need for most people to engage an accountant.

As an example, at just 2%, it would see a wage earner on $2100 per week receive an additional $540 in their pay packet to spend.

What better way to stimulate an economy!

Finally, as fir pensions, I am filthy with the way successful people get treated in this country, because in most cases, they work harder than most, receive less support, pay far more in taxes, yet receive nothing for their efforts. It sucks!

A far better system (apart from a TT) would be to reward high tax payers with a larger pension, because after all, they are the ones who have carried the can.

Paying taxes is about the only effort one does without reward.

The sad part of all this is that we are now seeing the fall out from six years of labor waste and miss management. Brace yourself!
Posted by rehctub, Monday, 14 April 2014 8:33:00 AM
Find out more about this user Recommend this comment for deletion Return to top of page Return to Forum Main Page Copy comment URL to clipboard
John C, this also brings me back to inheritance tax.

I hold the view that anyone whom inherits more than say $500K should pay inheritance tax. That's $500K per sibling, not per asset, because let's face it, nobody needs any more than that as what is essentially a gift.

At least this would help redistribute the wealth without expecting pensioners to dig deeper in their retirement years.

I personally know of several families where the asset bases today exceeds twenty million, so to expect to inherit a share of that 'tax free' is greedy.

Of cause there would be issues to consider such as taking on the family business, however, if a business is owned by a trust (for tax minimization purposes) and is passed on, then it's hardly a family business.

Either way, we must find ways to increase tax revenues without prejudicing current tax payers.
Posted by rehctub, Monday, 14 April 2014 11:32:14 AM
Find out more about this user Recommend this comment for deletion Return to top of page Return to Forum Main Page Copy comment URL to clipboard
Gee there are some charmers on this forum, but Hasbeen, you take the cake.

Apples & oranges you say when writing off the incredible capital gains in real estate. As stated at the top of my article, there was a $187bn gain for those lucky enough to own property, in just three months. Your apples & oranges sees this as irrelevant because those who already own property have to pay for their 'replacement property'.

What about those who dont own property?

Even more to the point, what hard work did these people do? Next to none. Keep the profits form your house renovations (largely keeping pace with depreciation) but the locational value is created by the existence of the community. If nobody lived in your capital city, land values would plummet. If everyone moved back, they would skyrocket. All for what? Something they never created, access to the earth. This is why economists from Adam Smith, David Ricardo, JS Mill, James Tobin, Milton Friedman, Joseph Stiglitz & Dr Ken Henry have all suggested Land Taxes on economic rent (unearned income) are the fairest tax. There is enough free lunch there to remove all taxes on productive activity, instead capturing these unearned incomes.

Value capture surrounding new infrastructure is a simple way for those who benefit from new public services to pay something back to the rest of the community as a thankyou (spread over 20 years). Without closing this loop, the leakage impedes the structure that financed so much of our infrastructure back in the era when we actually built it.

Using our super as a means of financing such activity risks workers savings (as we have seen in Syd & Bris) whilst insiders are given the nod on where to buy land before the project is announced. They buy and wait for great profit. That is where the real robbery lies.

I for one would prefer a society where we aren't penalised for working and creating. Instead so many fall into line with the Murdochracy, defending the right of monopoly for the privileged. Further detail:

www.prosper.org.au/1H2
Posted by Karl Fitzgerald, Monday, 14 April 2014 1:04:16 PM
Find out more about this user Visit this user's webpage Recommend this comment for deletion Return to top of page Return to Forum Main Page Copy comment URL to clipboard
dear KARL/QUOTE..<<..>>.Value capture...surrounding new infrastructure.is a simple way for those who benefit from new public services..>>..till they get privatised?..<<..to pay something back to the rest of the community.>>

v.c..SOUNDS LIKE..A NASTY WORD
IT..MORE DEFINES..THIS..FURTHER/QUOTE

<<..>>whilst insiders..are given the nod..on where to buy...land before the project..is announced...They buy..and wait.for great profit...That is where..the real robbery lies...>>..

AND WE ALL..COULD AGREE

but clearly/these things..are time sensitive
/thus simply apply..these/taxe. retroactively..comes to mind .[for cooperate resale/to cash in the value]..this idea..that we get sOME implied benefit..BECAUSE SOME FOOL..BUILDS A RACE-way next door..OR A BILLION DOLLAR GOVT/SUBSIDIZED..footy stadium..[THESE MAKE ME REALLY ANGRY]

KARL..it depends..on those.....'in the know'..paying
and because their 'in the knOW'..*know..IT WONT HAPPEN..[full stop]

<<..Using our super..as a means of financing..such activity risks workers savings..(as we have seen..in Syd & Bris)>>

yes and we stilL...*must pay..12 percenT..OF OUR Wages/plus..govts..overly generous..top-up...
and anything..OF VALUE HAS ALREADY BEEN BOUGHT..AT NEAR TWICE REAL VALUES..THIS ILLUSION THAT..[WE REAP A WINDFALL..IS PIE IN the sky..[when real-estate..shrinks back near normality..once china stops bU[wying real estateith bailout/yanki-pAPER..

..the thing is karl..there is too much money..floating around/looking foR ASSETS...PRE THE HYPERINFLATION/phase..beginning..any-DAY/NOw..

we get..a lot of dreamers here..i recall one guy spending..our carbon credit on building..him/a pipeline to china..
http://forum.onlineopinion.com.au/thread.asp?article=16076&page=0

the thing is mate..YOU SOUND CLEVER
..we need less people..living off our wages and..sin-taxeS..not people building windmills...with our money...THATS What govt can do..[its your model thats wrong

govt can build it cheaper/get money without adding burden..on us and provide roads toll free/we pay tax on our fuel.tax fees fines levies..on our sins..we are forced into commerce..we can only pay for on credit..[at 3 times or more govt even today..can lend it for.

mate there's enough vile vampires getting wealthy off OUR PURSE
its them blood/sucking leeches/just making things worse.

yes our super is a cash cow/you dont gone and stole decades OF OUR WAGES.. for what?.. ONLY TO DOUBLE THE COST OF RETIRING..HEATINGcooling Warming//traveling/drinking smoking working playing..watcHING LISTENING even communicating..then wew must insure MUST REGESTER MUST OBEY..while those in the know reap in our ever more meager pay

[not you personally..yet/Of course]
BUT AMBITION/MEANS YOU WILL.
Posted by one under god, Monday, 14 April 2014 2:09:48 PM
Find out more about this user Visit this user's webpage Recommend this comment for deletion Return to top of page Return to Forum Main Page Copy comment URL to clipboard
  1. Pages:
  2. 1
  3. 2
  4. 3
  5. 4
  6. Page 5
  7. 6
  8. 7
  9. All

About Us :: Search :: Discuss :: Feedback :: Legals :: Privacy