Comments by "John Woodrow" (@johnwoodrow8769) on "Australia ‘does not need stage three tax cuts’" video.

@2CJ "Fair" would be every Australian paying the exact same amount of tax. The Australian tax system is based on 'ability to pay', nothing to do with what's 'fair'. There is no 'fair' reason if someone say works two jobs that they should pay double the amount of money to the government than someone who sits on their arse most of the time.
4
@pwillis1589 Explain to me exactly WHY the person earning $150,000 should pay more money to the government than someone earning $80,000. Here's the 'case study'. Two people, doing the identical type of work, both with the exact same family circumstances. Each earn $80,000 a year base salary for a 35 hour week. One of the two however works 7 days a week, which due to overtime, penalty rates, etc lifts his salary up to $150,000 a year. He will get to keep $35,000 of that extra income, and the other $35,000 he has to pay to the government as additional marginal tax. Ok so far? Now convince me its 'fair' than one of our workers should have to pay the government $35,000 more than the other yet gets no more government services etc. What did the government do to actually deserve an addition $35,000?? Answer, nothing! There is nothing 'fair' about a progressive tax system. Its 100% about of the ability of government to extract money from someone, like leaches sucking blood. And as Kerry Packer once famously said, "you (the government) don't spend my money wisely enough to want me to give it to you" (or words to that effect).
3
@2CJ Hate to burst your bubble, but "Mr Rich in a Private Jet" isn't paying much if any PAYE income tax. He will have a web of company and trust funds between himself and his sources of income. It is the person who works hard, applies themselves at school, and rises up to a middle management level at work. He/she lives in middle suburbia, has 2.5 children, and is anything but very wealthy. THAT is the person paying the high rates of tax that you live off. And you begrudge them a tax cut. P.S. At one point in my life (early 20's) I was unemployed, broke and lost, and couldn't afford to even buy food. A $1's worth of chips is what I'd buy for dinner to fill me up. Fortunately I met someone who was able to help me turn my life around. Eventually I was able to rise to the level of a senior executive for a global multinational. So no it is not "utter bullshit". You are just lazy, not prepared to put the effort in, and are subsidised in society by others who do make the effort. Face up to this fact.
2
@pwillis1589 Do you actually know anything about the subject? Company tax is a FLAT rate, it is not progressive. A self employed plumber earning say $200,000 a year can split his income with his wife .... put many of their household expenses e.g cars, though the business, and pay himself a 'wage' of say $40K. He them pays two fifths all tax. A married person working for a company earning $200,000 will pay a shit load of tax. That's a system you claim is 'fair'. What a joke.
2
@2CJ I take it you pay very little, if any, tax.
1
@2CJ So basically you pay no tax and bludge of other people. Got it.
1
@2CJ How can you pay "plenty of tax" when you've already said you have a poor paying job? Half of all personal income tax collected in Australia is paid by the top 10% of income earners. Something like 80% of all income tax is paid by the top 25% of income earners. Low paid workers pay little tax, massively inadequate to cover the services they draw up such as health, education, social security, etc, etc. Basically they live of the backs of higher income workers i.e. people who have applied themselves. You call that 'fair', I call it being a parasite.
1
@pwillis1589 The reality is high marginal tax rates just basically punish people tiring to raise themselves up the socio-economic ladder. The very rich or self employed always have way to minimise their tax. It is the average person on wages just trying to get ahead who cops it in the neck with high marginal tax rates e.g. just doing some overtime, a second job, improving yourself with education.
1
@pwillis1589 Other than a VERY small percentage of senior managers for multinational companies operating in Australia, the VAST major of people earning $5 million, or even $1.5 million a year, will be self employed and generating that income via company and trust structures. They will also have access to and can afford the best possible tax advice. Consequently the amount of PAYE tax they pay may be very minimal. The bulk of PAYE tax is paid by middle level managers in these same companies, perhaps earning $200,000 a year. These are NOT rich people. And they are very unlikely to actually draw much from the government, sending their kids to private schools, having private health cover, not qualify for ANY government handouts, not even the recent $250 cost of living handout. These are the people potentially being denied a tax cut. They pay the bulk of PAYE tax in Australia, and are more deserving of a reduction than anyone else. P.S. Being retired the situation I'm describing does not apply to me.
1
@pwillis1589 Brilliant idea, increase the Australia corporate tax rate and have and even greater incentive for major companies to shift profits overseas to a lower tax rate country. A multinational company has several perfectly legal ways of shifting virtually all its Australian generated profit overseas, and pay zero Australian tax e.g. transfer pricing. And you want to encourage that, great idea, not. P.S. You are corresponding with a retired CPA. Suggest you stick to a subject you are more familiar with.
1