Self explanatory on this crazy Oz
http://www.news.com.au/couriermail/story/0,23739,25202308-953,00.html
Plan for dual-income families to pay more tax
DUAL-INCOME families could pay more income tax under a shake-up of Australia's taxation system being considered by Treasury secretary Ken Henry.
As part of his wide-ranging review, Dr Henry told a Brisbane citizens forum a hard look would be given to family tax returns.
"We're looking closely and carefully at that as an option," he said.
"We're aware of the issue and we may be dealing with it in our final report."
Australia's Future Tax System Review Panel is holding meetings in major cities to hear community views about possible changes in the tax and transfer system.
A meeting in Brisbane City Hall attracted about 60 people on Monday night.
Dr Henry, the chairman of the panel, made his remarks after a registered audience member said he thought taxing family income would be fairer.
He agreed many people found it "a bit odd" government benefits were tied to family incomes, while income taxes were levied on individuals.
Family returns remain a controversial issue because they create a new system of winners and losers.
The National Tax and Accounting Association said yesterday family tax returns would benefit single-income households at the expense of dual-income households and would dramatically complicate the tax system.
"In a utopian situation it sounds like a good reform but the devil is in the details," spokesman Andrew Gardiner said.
"It's well meaning, but when you go to implement it, therein lies the problem."
While Dr Henry assured the Brisbane forum that simplifying taxes was a Commonwealth priority, Mr Gardiner said family tax returns would have the opposite effect.
"You would have to create a lot of new rules and a lot of complicated rules" for both the tax and entitlement systems, he said.
"We think it would create more problems than it solves. We don't need that level of overhaul."
Sally Cule, principal of Macro Tax Accountants in Brisbane, said she was in favour of family returns because pooling income would negate the need to ask for government benefits.
"I tell clients to forget about Centrelink," she said.
The review panel is seeking submissions, which can be made by May 1. The panel is expected to finish its report in December.
http://www.news.com.au/couriermail/story/0,23739,25202308-953,00.html
Plan for dual-income families to pay more tax
DUAL-INCOME families could pay more income tax under a shake-up of Australia's taxation system being considered by Treasury secretary Ken Henry.
As part of his wide-ranging review, Dr Henry told a Brisbane citizens forum a hard look would be given to family tax returns.
"We're looking closely and carefully at that as an option," he said.
"We're aware of the issue and we may be dealing with it in our final report."
Australia's Future Tax System Review Panel is holding meetings in major cities to hear community views about possible changes in the tax and transfer system.
A meeting in Brisbane City Hall attracted about 60 people on Monday night.
Dr Henry, the chairman of the panel, made his remarks after a registered audience member said he thought taxing family income would be fairer.
He agreed many people found it "a bit odd" government benefits were tied to family incomes, while income taxes were levied on individuals.
Family returns remain a controversial issue because they create a new system of winners and losers.
The National Tax and Accounting Association said yesterday family tax returns would benefit single-income households at the expense of dual-income households and would dramatically complicate the tax system.
"In a utopian situation it sounds like a good reform but the devil is in the details," spokesman Andrew Gardiner said.
"It's well meaning, but when you go to implement it, therein lies the problem."
While Dr Henry assured the Brisbane forum that simplifying taxes was a Commonwealth priority, Mr Gardiner said family tax returns would have the opposite effect.
"You would have to create a lot of new rules and a lot of complicated rules" for both the tax and entitlement systems, he said.
"We think it would create more problems than it solves. We don't need that level of overhaul."
Sally Cule, principal of Macro Tax Accountants in Brisbane, said she was in favour of family returns because pooling income would negate the need to ask for government benefits.
"I tell clients to forget about Centrelink," she said.
The review panel is seeking submissions, which can be made by May 1. The panel is expected to finish its report in December.
We are ready !
