Posted February 03, 2019 15:14:47Australia is already paying about $6 billion a year in tax to the federal government, but a new report says the tax burden on Australians is growing at an alarming rate.
The Australian Taxation Office (ATO) released its first comprehensive report on Australia’s tax system last month, which showed the average taxpayer has been paying $1,965 a year more than the average income earner.
That’s a rise of $5,000 per year since 2010.
It’s a rate of $7,000 more than what the average Australian family paid in 2016.
And it’s almost double the $3,600 average rate paid by workers in other OECD countries.
The ATO report says that over the past 15 years, Australia has been spending $7.7 billion on taxes that are currently being collected by the ATO, up from $4.5 billion in 2010.
The biggest increase is on health, with a $6.6 billion increase since 2010, the ATOs report said.
“Taxation is a highly complex and highly contested issue in Australia and we want to provide accurate information on the issue,” ATO CEO Andrew Colvin said.
Tax is a complex issue and it is very important for the people of Australia to have a clear understanding of what is happening to their taxes.
“The tax burden is growing by $5 million a year over the last 15 years.
The average income earners tax bill has increased by more than $7000 over that period.”
It’s the second year the ATOS has released a detailed tax report.
Last year the report said the average tax burden increased by $8,200.
“It’s important to note that the tax change of this year does not represent a return to a lower tax rate,” the ATo said.
The new report shows the tax changes include: It’s now compulsory for all taxpayers to have health insurance; It reduces the standard deduction to $18,000, down from $24,000 in 2019; The new threshold for income is now $75,000; There is a new $4,000 tax credit for those who work over 50 hours a week; And the GST on tobacco is raised to 12 per cent from 10 per cent.