- Corporate Community Tax
- Arts Lottery
- Reform Negative Gearing
- Superannuation Tax Concessions
- Super Profits Tax on Banks
- Legalise Cannabis & Tax it!
Corporate Community Tax
Many corporations with a turnover in excess of $100m managed to avoid paying any tax at all in the tax period for 2013-14, while the remainder paid a fraction of the percentage we as individuals pay. That just doesn't seem right.
It is, of course, perfectly legal - but to be the responsible community-minded organisations they claim to be, it’s time something more was given back, to boost and support the Australian communities they rely on to make their significant profits.
The Arts Party proposes a levy of 0.2% of reported turnover paid by every company and corporation in Australia with a reported turnover in excess of $100m. Based on ATO figures, if applied in 2013-14, this would have raised over $3.2bn for community projects. Corporations can offset this levy by supporting registered Arts Organisations of their choosing through the financial year, up to the 0.2% threshold.
The Sydney Opera House was paid for primarily through a lottery. We propose reintroducing this approach, to raise $500m+ for small/medium community organisations across the country, the proceeds paid via a special cultural fund.
Reform Negative Gearing
We can improve the housing affordability problem affecting many Australians and reduce costs to the budget at the same. Unwinding the Negative Gearing system will not be simple. It needs to be done carefully; avoiding economic instability, and problematic devaluations in Australian properties. But it does need to be done.
Negative gearing and the CGT discount are distorting the housing market and costing the budget $7.7 billion per year. The proportion of investment loans is rising, owner occupied loans are falling and rates of home ownership are falling. People are being forced to rent in greater numbers as a growing number of houses are bought by property investors.
Some claim that negative gearing encourages the building of new rental properties and so helps lower rents, but this impact is overstated. The vast majority of investor housing finance, 94 per cent, is for existing houses.
Australia is one of very few countries to allow negative gearing losses to be offset against all income for multiple properties.
We propose that negative gearing be limited to 1 existing investment property or 2 new build properties only, leveraging up to $1.5m in total. This would save over $4bn in subsidies from the budget, while allowing Australians to continue investing in their futures through the property market.
These changes would need to be undertaken gradually, over a period of 5-7 years, to minimise disruption to housing prices, and the economy more broadly.
Superannuation Tax Concessions
We should scrap wasteful tax breaks for the wealthiest Australians who don't need them to stay off the age pension. Instead, give the bigger breaks to everyday Australians, to ensure everyone can retire in dignity and fewer people need the age pension in years to come.