The flood levy isn’t progressive
The flood levy is designed to make workers pay for the reconstruction of infrastructure in Queensland.
It cuts in at $50,000. This is well below the average wage of $65000. In other words the tax will fall on workers.
It is true it will catch some well paid people. Some of these will be workers – selling their labour power and having little or no control over their work. Some will not.
But the claim that this tax is progressive because it imposes a one percent levy on those earning more than $100000 as compared to half a percent from $50,000 up to $100000 and nothing on incomes up to $50000 misses the point.
Labor aren’t taxing profits; by and large they are taxing wages.
Global warming is producing more extreme weather events, as the UN’s Intergovernmental Panel on Climate Change warned. Global warming is caused by the manic drive for profit.
It is the polluters who should pay for rebuilding the homes of workers destroyed in the floods. It is big business whose profits should be taxed, not workers’ wages.
How about a super profits tax instead Gillard?
Readers might also like to look at No to a flood levy; yes to a super profits tax.