OECD tax reform recommendations come up short

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By Leith van Onselen

The OECD has released its Going for Growth report on Australia, which recommends lowering company and personal taxes in place of a higher GST, along with productive infrastructure investment.

With regards to tax reform, the OECD notes that Australian “consumption taxes are relatively low while income taxes are heavy. This partially reflects a high headline company tax rate, especially for a capital-importing country like Australia” (see next chart).

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.