The Australian government is talking about raising the GST* level from 10% to 15%
Why? Because, like most governments they waste a lot of money and spend more than they earn.
The easiest way to raise money is to increase the tax that is applied to everything and collected by businesses. The government doesn’t have to do anything except change a 10% to a 15%
Lemon jelly could come with better ideas than this.
It’s the laziest way to raise money. It shows and utter lack of intellect, cognitive function and creativity by the people who are charged with running the country.
To top it off, there has been no discussion of alternatives or even any attempt to look at who might be most affected by this change.
Its the poor of course. The poor spend all of their income on surviving. They live pay check to pay check and their only focus is on survival and paying the next bill. There is simply no money left over for savings or overseas holidays. Or any holidays. Ever.
Things like Capital Gains Tax are ignored, negative gearing on housing is ignored and taxing the wealthy is ignored. I’m not surprised at the last one, given that the current Australian Prime Minister is a hugely wealthy individual. Why would he shoot himself in the foot?
The ironic thing is that much of the thinking has already been done for our politicians. There has been the Henry Tax review and numerous other think tanks with some quite brilliant ideas. Most of these would be better off lining a budgie cage because at least the paper would be put to some use, rather than the wilful avoidance they are currently experiencing.
Being the Lucky Country isn’t enough, we need to be smarter. Smarter than lemon jelly is a starting point.
*The GST here is the equivalant of VAT in England or the State and government taxes in North America.