The negative gearing myth exposed

If we stopped negative gearing on 1 July 2015 it would reduce the budget deficits across the next four years by $2.94 billion. Sounds amazing…

The budget deficits over the next four years are well over $80 billion combined!

Can we please accept that proposed changes to super by the Opposition ($1.2 billion a year or $4.8 over four years) or changes to multinational tax by the opposition ($3.2 billion over four years) or removing negative gearing get us NO WHERE NEAR a balanced budget.

All these proposals combined are less than a 15% solution… And these are the big three tax issues!

You cannot solve the budget deficits by taxing alone. And that just leaves cutting spending.

Can we please have a mature debate or do we just keep saying “it is only a revenue problem…”

About Ken Mansell

As a stay at home Dad most of the week this is my way of pretending I am still the tax counsel of ASX and SEC listed companies, working at big 4 firms, working at the Federal Treasury, on the Henry Review and at Parliament House for the previous government.
This entry was posted in Income Tax, Planning Idea, Tax Policy. Bookmark the permalink.

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