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

Lower Company Tax to Resuscitate the Economy
Jeff Bennett, Michael Potter, Tony Makin
06 July 2020 | PP31

In response to the economic contraction of the COVID-19 pandemic, the federal and state governments have dramatically expanded the scope and scale of state involvement in the economy. This massive spike in government spending continues to be funded by increased government borrowing that has put…

A Fiscal Vaccine for COVID-19
Tony Makin
10 June 2020 | PP30

The fiscal response to the Covid-19 crisis ensures that the federal and state governments will experience large budget deficits and escalating public debt for the foreseeable future. Federal government debt could for instance conceivably double to over $1 trillion within a few years in the…

State Finances after the Pandemic
Robert Carling
28 May 2020 | PP29

The strength of Australia’s government finances is an important dimension of economic performance as it helps set the foundations for the delivery of public services, the flexibility governments need to respond to unexpected events and a stable fiscal environment for private sector investment. This strength…

Jumpstart Productivity: New modelling pinpoints better tax cut program
John Humphreys
15 October 2019 | PP24

Treasury modelling of the government’s tax changes make the strange assumption of no behavioural change, leading them to ignore economic efficiency and overestimate the revenue implications. Proper modelling provides crucial further information: The Low-Middle Income Tax Offset (LMITO) does nothing to improve economic efficiency and…

Millennials and Super: the case for voluntary superannuation
Simon Cowan
28 May 2019 | PP20

Superannuation is not a good deal for everyone. As a result of house prices increases, it has become much harder to save for a deposit and, as a result, homeownership percentages among younger workers have fallen. Superannuation, particularly future increases in the guarantee rate, is…

Media & Commentary

It's time to storm the gates on age pension reform
Simon Cowan
09 November 2019 | CANBERRA TIMES

There’s always been something of an irony in the invocation of the phrase “an Englishman’s home is his castle” by those opposed to changing the tax and pension arrangements around…

Truth is, not all tax cuts are created equal
John Humphreys
27 October 2019 | The Canberra Times

TREASURY’S flawed tax model has caused the government to underestimate the benefits and overestimate the budget cost of their long-term tax reforms. This has influenced the government to pursue the…

Canberra needs to discover ‘secret’ tax cuts bonus
John Humphreys
25 October 2019 | The Australian

Australia’s tax debate needs a reset. The government’s recent tax reform is to be commended but it was based on flawed Treasury modelling that ignored productivity and over-estimated the budget…

How smarter tax cuts will boost the budget
John Humphreys
24 October 2019 | Spectator

Treasury’s flawed tax model has led to the government’s structural reforms being estimated to cost much more than they actually will, and scheduled much later than they should be. In Jumpstart…

Come on Treasury, time doesn’t stand still
John Humphreys
18 October 2019 | Ideas@TheCentre

Treasury’s flawed tax model has led to the government’s structural reforms being estimated to cost much more than they actually will, and scheduled much later than they should be. In…