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The Forum > General Discussion > The Folly of Labor's New Income Tax Rates.

The Folly of Labor's New Income Tax Rates.

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Revenue is the fundamental basis of any economy. If you have no revenue source then you have no economy. A classic example is East Timor. We liberated them with military might so they could have a free economy based on the revenue flow from the oil and gas reserves in the Timor basin. The only problem we have is that East Timor is not getting the real benefits of a revenue source. The Australian Government has allowed the big multinationals to get control of the undersea resources.
East Timor is still a depressed disaster of an economy because it has no real revenue stream.
Back here in Australia we have a government scavenging for revenue. We even have state premiers stating that they intend to roll out more speed cameras to collect millions of extra dollars in fines for the state coffers.
I say to you the revenue is out there Mrs Government but you refuse to collect it.
Example #1. A take away shop that bakes its own bread, pies and mini meals in a high turn over are of indigenous and single occupancy dwellings collects upwards of $5000.00 per day,24/7, has no operating till and declares $1000.00 per day, if that.
continued
Posted by chrisgaff1000, Wednesday, 31 October 2012 10:22:50 AM
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That is $1,460.000 per year undeclared revenue ($146,000 unpaid GST)
Multiply that figure by a estimated 50,000 similar operations throughout Australia and you have $73,000,000,000 per year undeclared revenue ($73,000,000,00 unpaid GST)
Example #2. A dive tour boat in any tourist port take ten backpackers for cash over the back of the boat per day (and they do) @ $100.00 (min) then that is $365,000 per year undeclared revenue (36,500 GST).
Multiply that figure by a estimated 1,000 similar operations throughout Australia and you have $365,000,000 per year undeclared revenue (36,500.000 GST)
Massive isn't it
Now using example #1; we take a conservative figure of say 20% of this amount being fact this then $14,600,000,000 multiplied by 250,000 (a very conservative figure) you then have an amount of $36,500,000,000,000.
Now just say only 20% of this figure is true then we a missing out on $7,050,000,000,000.
Staggering isn't it?
So what it means is that our government is deliberately bleeding the worker who really shouldn't have to pay any tax on up to $100,000 a year income.
End of unemployment, end of poverty, end of medical waiting lists, better roads, schools and aged care,
Utopia revisited.
CG
Posted by chrisgaff1000, Wednesday, 31 October 2012 10:23:45 AM
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100,000,000,000 in super. As long as everybody does not retire on the same day there's no problem.
The surplus push has not caused one lost job.
Backwards in five years, That is not what the economy figures say.
The GFC did happen, unless you were asleep.
The Howard measures that stopped the boats, will not work now.
This govt; is not perfect but the alternative is dangerous.
What has gone on in the last five years is steady growth, steady inflation, low interest rates, why would anyone complain.
Posted by 579, Wednesday, 31 October 2012 10:28:46 AM
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Rehctub;
A government committee has reported that the governments response to
the GFC had no effect. So Wayne Swann did not save Australia after all.
All he did was waste it all.

Note that the "Worlds Best Treasurer" award he got was from the very
people who got us all into the current mess anyway !
Birds of a Feather come to mind.
Posted by Bazz, Wednesday, 31 October 2012 10:52:19 AM
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Chrissgaaf1000,
Your second post is difficult to follow.

As I see it you have not allowed for the take away shops costs, but simply used a gross income. Have you ever had a retail business? Many go broke as can be seen by the changes in leases.

Rents in high pedestrian traffic areas are very high, try renting a shop in a shopping cantre. Then there are wages and related costs, electricity, gas and other operating costs. On top of that there is the purchasse of the raw materials used, insurances, interest on loans for plant and a heap of other costs you may not be aware of, such as waste of unsold product.

Butch may be able to give a rough idea of how much is left out of each dollar in turnover, but just because there is a high business income does not mean a profitable business or a high taxable income.
Posted by Banjo, Wednesday, 31 October 2012 1:04:28 PM
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Bazz please give me*name of that report*who wrote it
How can I find it?
My bet is in a little Golden book.
Posted by Belly, Wednesday, 31 October 2012 1:25:09 PM
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