From the AFR:
The federal government has downplayed the significance of bracket creep as it continues to hose down expectations of meaningful tax cuts ahead of the May 10 federal budget.
After months of portraying bracket creep as a menace that threatened economic growth, Finance Minster Mathias Cormann now says there is no urgency to redress the issue because of low wages growth.
“We’ll do as much as we can and as much as we can sensibly afford,” Senator Cormann told Radio National, adding that the decision to not touch the GST has severely limited the government’s options.
“But given that wage inflation is comparatively low, that inflation generally is comparatively low, the problem is there but it’s not there to the same extent as to what it might have been in the past.
Oh yeh, the butt-covering bureaucrats and bubble managers at the RBA and Treasury are in full control of the Government now.
