Once again, the Budget still doesnt address the rich paying no personal income tax, just like previous budgets from either sides of politics.
Income tax for PAYE people is a sliding scale. Company income tax is 30%. At a point (used be about $120,000) the tax bill for both is equal. So those who can, pay company tax, not PAYE tax, when their salary package is > $120,000.
Lindsay Fox stated a few years ago, he pays no PAYE tax as all his expenses get forwarded to his company who pay company tax on all his expenses. An extreme case of salary packaging. He reckoned this discrepancy needed to be fixed.
A study a few years ago found this was a common procedure. Do we up the company tax, reduce PAYE tax, or adjust both to get a fairer system? Im guessing that parliamentarians from both sides want neither. When you look at what the spouses of PMs (specifically Kevin Rudd's) are worth, Im guessing they are paying company tax, not PAYE tax, which is way below their fair share. I reckon taxing the rich is never going to happen regardless of who is in power.
goldfinger said
03:36 PM May 4, 2016
......and the day crapp is worth money...you'll find your arsehole disappear overnight.....Hoo Roo
Possum3 said
04:30 PM May 4, 2016
That is what Fringe benefit tax was brought in to capture - ie any benefits provided by a "company" in lieu of taxable salary.
Ron-D said
07:23 PM May 4, 2016
I think there all tared with the same brush ,so it comes down to choosing the best of two evils,personal opinion here,I think fringe benefits will not be on most voters minds,the Rud and Gillard government Mess has made it hard for the labour government to win.
Both have had good governments running the country Hawk and Keating ,Howard and Costello come to mind..
brickies said
07:33 PM May 4, 2016
Rules of this forum say ,should not post this post
On my soapbox again.
Once again, the Budget still doesnt address the rich paying no personal income tax, just like previous budgets from either sides of politics.
Income tax for PAYE people is a sliding scale. Company income tax is 30%. At a point (used be about $120,000) the tax bill for both is equal. So those who can, pay company tax, not PAYE tax, when their salary package is > $120,000.
Lindsay Fox stated a few years ago, he pays no PAYE tax as all his expenses get forwarded to his company who pay company tax on all his expenses. An extreme case of salary packaging. He reckoned this discrepancy needed to be fixed.
A study a few years ago found this was a common procedure. Do we up the company tax, reduce PAYE tax, or adjust both to get a fairer system? Im guessing that parliamentarians from both sides want neither. When you look at what the spouses of PMs (specifically Kevin Rudd's) are worth, Im guessing they are paying company tax, not PAYE tax, which is way below their fair share. I reckon taxing the rich is never going to happen regardless of who is in power.
I think there all tared with the same brush ,so it comes down to choosing the best of two evils,personal opinion here,I think fringe benefits will not be on most voters minds,the Rud and Gillard government Mess has made it hard for the labour government to win.
Both have had good governments running the country Hawk and Keating ,Howard and Costello come to mind..