Despite its poor reception from voters, and its dubious economic foundations, Treasurer Scott Morrison just won’t let the Government’s planned cut to the company tax rate from 30% to 25% die. From The Guardian:
…the treasurer made it clear the Coalition would not be adjusting its own spending and taxing agenda, digging in behind his $48b corporate tax cut plan.
He has also rejected suggestions he should consider a wider range of policies to help reduce the budget deficit, roundly dismissing Labor’s negative gearing proposals…
When asked about revenue-raising measures that would be popular with the community, like reforms to negative gearing and capital gains tax discount, he said: “You’re raising issues of politics with me, not policy”…
Let the company tax cut die, Scott.
There’s no chance that you will pass it through the Senate with Labor, The Greens and some minor parties staunchly opposed.
Moreover, it’s bad policy – representing a massive windfall gift to foreign owners/shareholders without providing any material uplift in jobs or incomes for Australians.
For these reasons, we have witnessed a veritable conga-line of commentators questioning the company tax cut, including:
- Victoria University senior research fellow, Janine Dixon
- The Grattan Institute
- The Australia Institute
- Goldman Sachs
- ABC’s investigative reporter Stephen Long
- Fairfax writers Peter Martin, Ross Gittins, Michael Pascoe, and Mark Kenny
- Former Liberal leader, John Hewson
- the University of Technology Sydney
- The Australian people
Heck, even some within your own party have blamed Saturday’s poor election showing in part on the company tax cut, which failed to resonate with ordinary voters, who care about everyday issues that affect them directly rather than gifting money to foreigners.
The company tax cut is not just spurious trickle-down economics, Scott, but dumb politics as well. Kill it off before it kills you.
