Tweaking individual policies will not deliver the change Australia needs: we must capture the consensus and commit to reforming our tax system away from earned and onto unearned income.
- Political leadership is required to capture consensus towards tax reform.
- Prosper Australia’s Tax Shift discussion document offers a plan for a path forward.
Prosper Australia today called tweaks to Stage 3 tax cuts woefully insufficient and called for complete reform in their Tax Shift proposal. This proposal is providing a solid base for discussion towards a new base for taxation, to help all Australians thrive.
“There is a clear consensus that we are overtaxing earned incomes and undertaxing unearned income. The effect that this approach has on our economy is very distortive and is punishing our productive sectors,” said Prosper Australia Director of Advocacy Emily Sims today.
“Land and housing are increasingly recognised as the largest drivers of inequality. If we don’t make some fundamental changes now, it will be another decade before the opportunity presents itself again.
“We face a situation where it is easier to buy a second home than your first. For young people in Australia, this is a major disincentive to commit to a career in any essential service.
“Australia’s natural resource base is poised to play a critical role in the energy transition. We must manage this resource boom better than the last, for generations to come.
“Now is the time for the Federal Government to expend some political capital and build a platform based on the many inquiries and reports that all lead in the same direction: a Tax Shift.
Prosper Australia today called on the Albanese Government to grasp the opportunity for a once-in-a-generation consensus across business, civil society organisations, and economists to reform the tax system.
Prosper’s Tax Shift proposal has been widely distributed amongst economists, industry organisations, and politicians across the political spectrum. Download your free copy on our campaign page.
