Treasurer Scott Morrison has warned of a new divide between “the taxed and taxed-nots”, saying Australia has a generation growing up expecting Government handouts.
In an address to a Bloomberg function in Sydney, Mr Morrison also cautioned against “renewed protectionism”, citing the more than $3 trillion worth of foreign investment currently in Australia.
He used his address to warn against complacency amid Australia’s ongoing economic success, saying there was currently a generation which has never experienced a recession.
“A generation has grown up in an environment where receiving payments from the Government is not seen as the reserve of the disadvantaged, but a common and expected component of their income over their entire life cycle, and not inconsistent with self-reliance,” he said.
“On current settings, more Australians today are likely to go through their entire lives without ever paying tax than for generations and more Australians are likely today to be net beneficiaries of the Government than contributors — never paying more tax than they receive in government payments.
“There is a new divide — the taxed and the taxed-nots.”
Key points:
- Treasurer says too many Australians are not paying taxes
- Speech comes ahead of “budget measures” Government wants to pass
- Labor renews calls for banking sector royal commission
Welfare, health services areas where ‘sustainable measures’ could be introduced
Mr Morrison also warned that Government debt could grow to $1 trillion within a decade if the budget is not repaired.
He used his address — which comes less than a week before the Coalition plans to table an omnibus bill for more than $6.5 billion in budget savings — to again urge the Opposition to back the measures.
“We are asking Labor to vote for measures they have already said and indicated they support,” he said.
Top Comments
People on welfare payments may pay no net tax, but their percentage of income going to tax (GST) is still much higher than the large multinational tax avoiders. The vast majority of welfare recipients are also genuine, it is a small minority that rort the system.
The main culprits in trying to cause a rift between "taxed" and "taxed-nots" are the LNP who find it easier to demonise the most vulnerable in our society than to come up with socially responsible, forward thinking policies that would benefit the nation as a whole. I've grown tired of the politics of division played by all the major and many of the minor parties in Australian politics. Where are the true leaders and visionaries hiding?
I have zero problem with the tightening of some welfare payments. You are living in a bubble if you don't think Centrelink is a lifestyle choice for a lot of people. The majority are doing the right thing and as long as they are they have nothing to worry about. Nothing will change for them.
The flip side it the big boys in town also need some attention paid the them as it appears they aren't doing heir part either.
Yes, my son's Youth Allowance of $150 a fortnight is a 'lifestyle choice'. You simply cannot be serious.
Now read the 2 sentences after that one.
Well that's exactly what I did - and since you didn't define any groups partaking of said 'lifestyle choice' I added our families' experiences. Perhaps some clarification on your part would help.
I agree with you on this one, Feast.