The Henry Tax Review will be "hollow" and not feature significant reforms, it has been claimed.
There will be no significant overhaul of personal income tax in the Henry Tax Review, according to one thinktank, with tax reforms likely to be "hollow", the AAP reported.
The top marginal tax rate should be cut to 35 per cent, with most taxpayers seeing a rate of only 27 per cent, the Centre for Independent Studies (CIS) told the news provider.
It said reforms should also include tax thresholds being automatically indexed for inflation and simplification of the Australian tax system.
"Boosting productivity growth should be top priority and personal income tax reforms of the right kind will support that objective," commented CIS senior fellow Robert Carling.
He also suggested a dual income tax system, where labour income is subject to a graduated scale and capital income is taxed at a flat rate.
Mr Carling's report, The Unfinished Business of Australian Income Tax Reform, highlighted the "sporadic change and reform" the system has seen over many years and the "unfinished business" that still remains.
Posted by Steve Douglas
There will be no significant overhaul of personal income tax in the Henry Tax Review, according to one thinktank, with tax reforms likely to be "hollow", the AAP reported.
The top marginal tax rate should be cut to 35 per cent, with most taxpayers seeing a rate of only 27 per cent, the Centre for Independent Studies (CIS) told the news provider.
It said reforms should also include tax thresholds being automatically indexed for inflation and simplification of the Australian tax system.
"Boosting productivity growth should be top priority and personal income tax reforms of the right kind will support that objective," commented CIS senior fellow Robert Carling.
He also suggested a dual income tax system, where labour income is subject to a graduated scale and capital income is taxed at a flat rate.
Mr Carling's report, The Unfinished Business of Australian Income Tax Reform, highlighted the "sporadic change and reform" the system has seen over many years and the "unfinished business" that still remains.
Posted by Steve Douglas
