This paper presents an analysis of the impact of tax and benefit changes under the Coalition Government, commissioned by the Opposition.
Following the 2014-15 Budget, NATSEM undertook analysis of the impact of tax and benefit changes under the Coalition Government, commissioned by the Opposition. The work involved the estimation of the distributional impact on family incomes of the major changes to the tax and government benefit system under the Coalition Government as compared to under Labor, including the changes announced in this Budget. NATSEM’s analysis was not to analyse the merits of measures in the budget – just the financial impact on households.
NATSEM is an independent economic and social research institute at the University of Canberra. NATSEM has a 21 year history of providing high quality and independent research to political parties, government, private sector and other universities without fear or favour.
The NATSEM modelling focuses on the major changes to the taxation and government benefit changes as they relate to family budgets.
This analysis is an independent summary of the results and an explanation of the underlying methods used and assumptions.
The NATSEM analysis does not include any potential ‘second-round’ effects such as behavioural changes to the policy measures. This is standard budget convention. The impacts of bracket creep are included in the NATSEM distributional modelling, however, as the tables below are a comparison between two sets of policies which both include bracket creep the overall impact from a ‘comparison’ standpoint is nil.