Today is Tax Freedom Day

April 16, 2018

It took Australians 106 days to reach the milestone this year, 5 days extra than two years ago. The Australian Conservatives want  smaller government and the consequential lowering of all taxes to stimulate the Australian economy – but that’s not happening.

Robert Carling from the Centre for Independent Studies has told radio station 2GB, this has to do with recent increases in government spending.

“Ultimately it is expenditure. This is the basic driver of the tax burden,” he said.

“It is driving Tax Freedom Day to be later and later every year.”

With 28.7 per cent of total generated income going to the government in tax, many are questioning why substantial deficits have become an almost constant presence in our political landscape.

Dr Carling points to new long term reform entitlements like the National Disability Insurance Scheme, Gonski 2.0 and the latest childcare reforms to explain the lack of surplus.

“Another one is health costs. That’s always bubbling along in the background there, consistently growing quite fast.”

 

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