Tax

The aim of the research at the CIS is to work towards an efficient and predictable tax system that does not impose too great a burden on the economy.

Publications

Report Card on State Finances
Robert Carling
19 February 2017 | RR23

The Commonwealth government’s perilous financial position is well known, but the finances of state government also warrant our attention. In aggregate, since plunging heavily into deficit after 2007, the states’ fiscal position has improved markedly in recent years, marked by a return to net operating…

Fix it or Fail: Why we must cut company tax now
Michael Potter
04 October 2016 | RR20

Australia needs to cut company tax to 25% to boost business investment, which is currently at recessionary levels. An investment boost will grow the economy, leading to increased wages, employment, national income, exports and productivity. Business investment is being hampered by our uncompetitive company tax,…

Submission to the Senate Inquiry into Enterprise Tax Plan Bill 2016
Michael Potter
30 September 2016 | CIS Submission

The growing company tax burden contrasts with the state of the economy, which is showing some weaknesses and facing substantial risks — as discussed later in this paper. Australia’s company tax system is not well placed to address these risks. The tax rate was 49%…

The case against tax increases in Australia: The growing burden
Michael Potter
07 June 2016 | Research Report 15

View Interactive Snapshot The tax burden imposed by the Commonwealth Government alone, and by all Australian governments, is above its historical levels and forecast to go well above these averages. Similar results are obtained if the budget deficit is included to measure the long-run tax…

The case against tax increases in Australia: The growing burden
Michael Potter
07 June 2016 | Research Report 15

View Interactive Snapshot The tax burden imposed by the Commonwealth Government alone, and by all Australian governments, is above its historical levels and forecast to go well above these averages. Similar results are obtained if the budget deficit is included to measure the long-run tax…

Media & Commentary

Tax Freedom Day
Michael Potter
21 April 2017 | Ideas@TheCentre

Congratulations, we’ve passed Tax Freedom Day. We’re no longer working for the government and have started working for ourselves. It has taken 102 days for Australians to pay off the…

Australia needs to change investment climate for good
Michael Potter
20 April 2017 | Australian Financial Review

Business investment in Australia is weak; built on foundations of straw. It would take a mere huff and puff from a downturn for it all to come tumbling to the…

The impossible job of a modern-day treasurer
Simon Cowan
18 April 2017 | Canberra Times

Being Treasurer is never easy. If politics is the art of the possible, the Treasurer is the one supplying the paint. Do well and the Prime Minister gets all the…

Cuts are not deep enough
Michael Potter
07 April 2017 | Ideas@TheCentre

Australia finally has a corporate tax cut, after almost a year of acrimonious — even painful — debate. Numerous incorrect arguments against a tax cut were wheeled out by the…

Penalising big companies means a bonsai economy
Michael Potter
06 April 2017 | Australian Financial Review

Do we want a bonsai economy for Australia? Everything in miniature, with growth actively discouraged. This is what many Australian politicians are apparently aiming for. Through explicit government policy, business…