John Passant

Site menu:

November 2010
M T W T F S S
« Oct   Dec »
1234567
891011121314
15161718192021
22232425262728
2930  

Tags

Archives

RSS Oz House

Authors

Subscribe to us

Get new blog posts delivered to your inbox.


RSS Blog RSS

Site search

Miniposts

Lex Wotton
(0)

Do not criticise the rich and powerful
(0)

Me quoted in Fairfax papers on tax haven use
Me quoted by Georgia Wilkins in The Age (and other Fairfax publications) today. John Passant, from the school of political science and international relations, at the Australian National University, said the trend noted by Computershare was further evidence multinationals did not take global regulators seriously. ”US companies are doing this on the hard-nosed basis that any [regulatory] changes that will be made won’t have an impact on their ability to avoid tax,” he said. ”They think it is going to take a long time for the G20 to take action, or that they are just all talk.” (1)

Sprouting sh*t for almost nothing
You can prove my 2 ex-comrades wrong by donating to my blog En Passant at BSB: 062914 Account: 1067 5257, the Commonwealth Bank in Tuggeranong, ACT. More... (12)

My interview Razor Sharp 18 February
Me interviewed by Sharon Firebrace on Razor Sharp on Tuesday 18 February. http://sharonfirebrace.files.wordpress.com/2014/02/18-2-14-john-passant-aust-national-university-g20-meeting-age-of-enttilement-engineers-attack-of-austerity-hardship-on-civilians.mp3 (0)

My interview Razor Sharp 11 February 2014
Me interviewed by Sharon Firebrace on Razor Sharp this morning. The Royal Commission, car industry and age of entitlement get a lot of the coverage. http://sharonfirebrace.com/2014/02/11/john-passant-aust-national-university-canberra-2/ (0)

Razor Sharp 4 February 2014
Me on 4 February 2014 on Razor Sharp with Sharon Firebrace. http://sharonfirebrace.files.wordpress.com/2014/02/4-2-14-john-passant-aust-national-university-canberra-end-of-the-age-of-entitlement-for-the-needy-but-pandering-to-the-lusts-of-the-greedy.mp3 (0)

Time for a House Un-Australian Activities Committee?
Tony Abbott thinks the Australian Broadcasting Corporation is Un-Australian. I am looking forward to his government setting up the House Un-Australian Activities Committee. (1)

Make Gina Rinehart work for her dole
(0)

Real debate?
(0)

Advertisement

Links:

Joe Hockey and tax transparency

Opposition Treasury spokesperson Joe Hockey has proposed a ‘tax receipt’ to let us know what the Government is spending our money on. It will contain a break up of where the tax we paid actually went. 

This is going to be a little hard for the 40 percent of big business which pay no income tax. Maybe instead of getting a break up of where their non-taxes didn’t go, these businesses could send us an invoice for our generosity, perhaps with words like ‘so long, and thanks for all the fish.’ But I digress.

Hockey’s idea has some merit. For example it would show the amount we spend on defence – $21 billion. This is a waste of human resources if ever there was one. Maybe we should ask for our taxes not to go the disgusting barbarity that is war and which has become an art form under capitalism and its highest stage, the battle between super powers.

Ah, but that is not what Hockey is about. He is trying to paint a picture of Government ‘overspending’. It is no accident that the big expenditure items are welfare ($115 billion), health ($57 billion) and education ($33 billion). The Liberals’ aim is to link spending on these essentials to their nonsense concept of ‘overspending’.

This they hope will prepare the way for savage cuts to social welfare and public hospitals and schools when they form the next Government, much as the Tories are doing in the UK at the moment.

There are other forms of spending Hockey doesn’t mention. Tax expenditures are disguised spending, and of the $100 billion in tax preferences much of it goes to business or the rich. 

This disguised expenditure is between one third and one quarter of current budget expenditure yet gets no scrutiny at all, and won’t under Hockey’s proposals. That’s because in the main it benefits the well off. 

So for example, according to The Treasury Tax Expenditures Statement 2009, we spend the equivalent of $32 billion in not taxing the family home. We have the intelligence to devise just such a tax that doesn’t catch ordinary home owners but does tax those whose multimillion dollar homes are tax avoidance devices.

Then there’s superannuation. Workers are forced to contribute to their superannuation through the compulsory Superannuation Guarantee (SG), notionally levied on employers but borne by employees. Paul Keating boasts that when he introduced SG and then, a few years later, increased it, real unit labor costs actually fell.

The superannuation tax exemption costs around $31 billion per year – about the same that we currently spend on the age pension. 

Much of this superannuation tax largesse is welfare for the rich and comes with little or no safeguards and policing.  By contrast we have strict rules to stop people with modest pension incomes earning any extra money to make their lives bearable.

Tax transparency should be more than just smoke and mirrors to prepare the way for attacks on social services like pensions, health and education.

Apart from highlighting the real cost of tax subsidies to the rich and business, we could also publish the tax returns of all big businesses.

Now that would be real tax transparency, wouldn’t it Joe?

Advertisement

Comments

Pingback from Tax Matters » En Passant » Joe Hockey and tax transparency
Time November 21, 2010 at 9:16 pm

[...] more here: En Passant » Joe Hockey and tax transparency Related Posts:1031 Exchange Rules « Joe Whitlock « 1031 Exchange1031 Exchange Rules « Joe [...]

Pingback from En Passant » Joe Hockey and tax transparency « Best Tax Practice
Time November 21, 2010 at 9:20 pm

[...] reading here: En Passant » Joe Hockey and tax transparency Related Posts:Written by Joe Whitlock – Summit 1031 Bankruptcy TransparencyJoe Berrios Files [...]

Pingback from En Passant » Joe Hockey and tax transparency « Tax explained to you.
Time November 21, 2010 at 9:49 pm

[...] this article: En Passant » Joe Hockey and tax transparency Related Posts:1031 Exchange Rules « Joe Whitlock « 1031 ExchangeJoe Berrios Files IRS Complaint [...]

Pingback from En Passant » Joe Hockey and tax transparency « All About Hockey
Time November 21, 2010 at 9:57 pm

[...] Opposition Treasury spokesperson Joe Hockey has proposed a ‘tax receipt’ to let us know what the Government is spending our money on. It will contain a break up of where the tax we paid actually went. … See more here: En Passant » Joe Hockey and tax transparency [...]

Pingback from En Passant » Joe Hockey and tax transparency « How to Beat the Taxman
Time November 21, 2010 at 11:45 pm

[...] is the original post: En Passant » Joe Hockey and tax transparency Related Posts:En Passant » The anti-union Tax Office The rule of law argument is often code for [...]

Pingback from En Passant » Joe Hockey and tax transparency « Very Latest Tax News
Time November 22, 2010 at 2:39 am

[...] here: En Passant » Joe Hockey and tax transparency Related Posts:1031 Exchange Rules « Joe Whitlock « 1031 Exchange 1031 Exchange Rules « Joe [...]

Comment from Shane H
Time November 23, 2010 at 9:39 pm

So is the stuff you quote publically available? I mean how hard would it be to do a class analysis of where tax money comes from and goes to.

Comment from John
Time November 24, 2010 at 9:00 am

Yes Shane. Isn’t there a link to the Tax Expenditure Statement? Translating that to class might be a bit more difficult although I think Julian Disney at the Community Tax Project might have done some work on the superannuation benefits overwhelmingly going to the rich.

Comment from Cortez Elian
Time November 28, 2010 at 7:09 am

I reckon something truly interesting about your blog so I saved to favorites .