The government made many sensible changes to superannuation tax breaks in the budget. But the move to more flexible annual caps on pre-tax contributions is not one of them.
Two centuries of tax policy show efforts to raise taxes on the rich hinge on questions of fairness. The history also suggests proponents have a tough road ahead.
The budget seems to be saying to people with taxable incomes of less than $80,000 – if you want to pay less tax, get yourself a negatively-geared property investment.
Budget repair was put off till later, and the net impact of decisions in the budget was small, but it will be easier to defend in the coming election campaign than some other recent efforts.
They’re the lines you sometimes hear before or after budgets from governments and commentators of all persuasions. The problem is they go against reality.
Obama calls them insidious and others have described inversions as unpatriotic, but what they really do is show just how much of a mess the corporate tax code is.
Treasurer Scott Morrison, already under fire for not having tax policy out, has got into a stoush with former prime minister Tony Abbott over how much work was done before the leadership change.