Tax concessions for rich cost us $135 billion a year
A report commissioned by Anglicare has found that eight of the largest tax concessions and exemptions cost the public purse just over $135 billion a year in lost revenue.
These tax concessions and exemptions all disproportionately benefit high income and high wealth households, the report found.
“The Cost of Privilege report finds that tax exemptions on private healthcare and education for the wealthiest 20 per cent cost over $3 billion a year, superannuation concessions to them cost over $20 billion a year, and their Capital Gains Tax exemptions cost a staggering $40 billion a year,” said Anglicare Australia Executive Director Kasy Chambers.
“Compare that to the annual cost of Newstart, which costs just under $11 billion a year.
“Following the latest round of welfare cuts, these numbers tell us that something has gone badly wrong – we have become a country that cuts from the poorest to give to the richest.”
Emma Dawson, Executive Director of Per Capita, a think tank that conducted the research, said the report’s findings would shock many Australians.
“Too often, the political narrative around our tax and transfer system demonises the most disadvantaged Australians, and portrays taxpayers as unduly burdened by the cost of our tightly targeted welfare system,” she said.
“Australians will likely be shocked at what the wealthy cost the rest of us.”