Bill Shorten is walking back his attack on pensioners

Bill Shorten is walking back his attack on pensioners

There is insufficient detail yet to make a definitive assessment of the ALP's policy, but Mr Shorten deserves credit for launching the discussion, a move that was always certain to trigger anger from those who have come to depend on an unusual distortion of the tax system as part of their income entitlement.

"And tax revenues are expected to balloon in the years ahead, even without Labor's plan to deny refunds for dividend imputation credits, and even after accounting for the Government's plans to reduce the company tax rate".

In 2001, the conservative Howard government introduced a measure which allowed shareholders who don't pay tax to convert the credits into a cash refund from the tax office.

"About 33 per cent will be paid by individuals (mostly in high wealth households), 60 per cent will be paid by self-managed superannuation funds (typically held by wealthier retirees), and the remaining seven per cent will be paid by Australian Prudential Regulation Authority regulated superannuation funds".

"Australia now pays out $8 billion of taxpayer money in tax refunds to people who don't pay any income tax", Shorten said.

Of the 1.6 million people to be affected by Labor's proposal to end the payment of cash refunds for imputation credits on share dividends, 200,000 people are on part-pensions, and 14,000 are on full pensions. "He's going after pensioners' incomes". We don't have a lot of money anymore and I've got to choose hospitals and schools and aged care facilities over paying people money refunds for income they haven't paid.

"You know exactly what Bill Shorten is doing", Turnbull told journalists on Wednesday morning.

"Bill Shorten is going after the savings of your parents and their friends".

"Bill Shorten is coming for the savings, for the incomes, for the lifestyles, for the affordability of the cost of living, of people on lower and lower middle-incomes in retirement".

Is there merit in the ALP's controversial policy to help fund cuts in taxes on company profits and incomes by ending a uniquely Australian tax break for investors? A retired couple living in a $2 million house, with $3.2 million in super, are classified as "low income", according to Adam Creighton of The Australian.

Even though the wealth of older generations has increased in line with asset prices, noted Wood, Coates and Daley, the share of older Australians who pay income tax has almost halved (from 27 per cent to 16 per cent) in the past two decades.

Related Articles

  • Nuveen NY Municipal Value Plans Monthly Dividend of $0.03 (NYSE:NNY)

    Nuveen Credit Strategies Income Fund's dividend has Mar 15, 2018 as record date. 5 funds opened positions while 12 raised stakes. The stock of Modine Manufacturing Company (NYSE:MOD) has "Buy" rating given on Wednesday, January 31 by Seaport Global.
    LS bypolls: BJP ahead in Gorakhpur, SP in Phulpur

    LS bypolls: BJP ahead in Gorakhpur, SP in Phulpur

    In Maharashtra, Shiv Sena has already declared that it is parting BJP's company before the Lok Sabha polls. The significant story is the ruling BJP's loss in UP, which the BJP had won covincingly barely a year ago.
    How to Get the Best Tan from a Tanning Bed

    How to Get the Best Tan from a Tanning Bed

    After your first two or three sessions, you can feel free to increase your exposure time and even the power of the tanning bed. You may be tempted to play some free slot machines with free spins but leave this for after you complete your tanning session.
  • Sigurdsson still has World Cup chance despite knee injury

    Sigurdsson still has World Cup chance despite knee injury

    Sigurdsson sustained the injury in Everyone's 2-0 home win against Brighton and Hove Albion in the Premier League in Saturday.
    Colts' potential trade with Bills becomes even more interesting

    Colts' potential trade with Bills becomes even more interesting

    BUFFALO, N.Y. (AP) — Bills defensive tackle Kyle Williams is putting off retirement to return for a 13th season in Buffalo. Thus, they traded o tackle Cordy Glenn to the Cincinnati Bengals and in exchange, swapped one of their first-round picks.
    Jose Mourinho to sell these two Man United stars in the summer

    Jose Mourinho to sell these two Man United stars in the summer

    Despite the Old Trafford outfit boasting the best defensive record in the Premier League , their frailties are starting to be exposed.
  • Take-Two Interactive Software (TTWO) Given Daily Media Impact Rating of 0.20

    Income is money received by an individual or business in exchange for supplying a good or service or through investing capital. Morgan Stanley assumed coverage on shares of Take-Two Interactive Software in a research report on Thursday, February 1st.

    US Republican Senator Paul opposes Pompeo, Haspel nominations

    Senate Majority Leader Mitch McConnell said he expected a speedy confirmation of Ms Haspel and Mr Pompeo. Yet the Trump administration maintains that Haspel's role in the torture program is an official secret.
    Snapchat Goes Too Far With Rihanna and Chris Brown Ad

    Snapchat Goes Too Far With Rihanna and Chris Brown Ad

    He pleaded guilty to assaulting his former girlfriend and was sentenced to 180 days of community service for the attack. Terrible that anyone thinks this is amusing . "Terrible that any company would approve this", she wrote.
  • Passing The Cisco CCNA Certification Exam Guide

    The course develops your knowledge and skills according to the digital era, which helps in getting evolution in the network. 3. This will also help in building up the required aptitudes the course requests. · Bifurcate what is important to learn.
    Aussie Cup hero Spithill nabs Italian job

    Aussie Cup hero Spithill nabs Italian job

    Team New Zealand duo Peter Burling and Blair Tuke have welcomed the chance to again lock horns with Jimmy Spithill when they defend the America's Cup in 2021.
    ¥530 Million Loss Causes Japan to Reconsider its Approach to Cryptocurrencies

    ¥530 Million Loss Causes Japan to Reconsider its Approach to Cryptocurrencies

    Other Cryptocurrency Heists Perhaps the most concerning aspect of the Coincheck incident is that it is not the first of its kind. At the recent World Economic Forum in Davos, Switzerland, many leaders reiterated warnings in the dangers of cryptocurrencies.