"It doesn't matter how beautiful your theory is, it doesn't matter how smart you are. If it doesn't agree with experiment, it's wrong." Richard P. Feynman

Thursday, November 24, 2011

Gillard's Crowning Achievements- Two Great Big Taxes!

Julia Gillard
Gillard Gets Latest Poll News
It is not surprising that the Labor government is 14 points behind in the polls when the major achievements they are trumpeting to the world are two new taxes to rip billions from hardworking Australians. The justification for these taxes are smoke and mirrors but the problem is that they set in line costs to the community that go on forever. Small businesses are to get so-called relief from their extra superannuation costs by paying less tax on their PROFITS! This means that any small business running close to the wind will be whacked by increased costs from the carbon tax and superannuation hikes but will get no relief as they do not pay any or much company tax-a double whammy!
Many of these hard pressed businesses will lay off staff or even close their doors because of these job-destroying taxes! It would be an interesting exercise to examine tax returns for small businesses to see how many would profit from a decrease in company tax as the company structure is often used for limited liability purposes and not for profit distribution which is done mostly by company wages.

1 comment:

  1. People are divided on this one. Pro tax advocates tell us that increasing taxes by folds will help the time frame of economic recovery. While anti tax groups tell us that hiking taxes are not the answer and it is the fiscal spending that causes the deficit.