Budget Forum 2018: Tax Caps and Tax Cuts: Good for Australia?

Abstract

Budget 2018-19 delivers tax rate cuts into the future that will seem attractive to many. But these tax cuts will benefit high income earners much more than low earners and they further dismantle the structure of our progressive income tax. While cutting taxes, the budget achieves fiscal balance by limiting spending excessively, at the expense of good government and the poorest in our society. It also puts a straitjacket on tax reform.