Tax cuts

Working paper

The economic consequences of major tax cuts for the rich

This paper uses data from 18 OECD countries over the last five decades to estimate the causal effect of major tax cuts for the rich on income inequality, economic growth, and unemployment.
Fact sheet

Fact Check: Would companies that paid no tax in 2015-16 be unable to benefit from a tax cut so as to invest more and help lift wages?

The Business Council of Australia promises to invest more in Australia if the Government's proposed corporate tax is passed, arguing this would lead to higher wages. But Labor Senator Murray Watt claims this promise can't be fulfilled
Fact sheet

Fact Check: Will $77 billion worth of Coalition tax cuts go to people on $180,000+?

Opposition Leader Bill Shorten has claimed that, over a decade, $77 billion of the Government's tax package would go to the top three per cent of earners.
Fact sheet

Fact Check: Is the Government's income tax relief focused on female taxpayers?

Ahead of the 2019 federal election, debate has turned to the fairness of the Turnbull Government's tax package. Kelly O'Dwyer, the Minister for Revenue and Financial Services, and Minister for Women, has weighed in, claiming the tax cuts were "good for wo
Fact sheet

Fact Check: Did Malcolm Turnbull announce a tax cut for millionaires and a tax hike for workers in the budget?

Federal Opposition leader Bill Shorten claimed Prime Minister Malcolm Turnbull announced a tax cut for millionaires, and tax hike for working Australians in the 2018 budget. But his claim is over the top.
Briefing paper

Needle in a haystack: searching for the impact of tax cuts on consumer spending and economic growth

Despite the supposed benefit of recent Commonwealth government tax cuts in boosting disposable income and stimulating more spending, the latest economic statistics have confirmed that Australia's economy is barely limping along.

Bracket creep vs stage 3 tax cuts

This analysis of the long term impacts of bracket creep shows that taxpayers are being over compensated for bracket creep at all income levels. The Morrison Government has used bracket creep as a key reason why it needs to implement its income tax cuts package...
Briefing paper

Gender distribution of the government’s 2019 tax plan

This research finds that the first stage of the Morrison Government’s tax plan will see men and women receive an almost even split of the tax cuts. But men will receive almost double the amount women do from the later stages of the government’s tax...

Tax targets

This paper outlines how the Morrison Government’s unlegislated tax cut, proposed for 2024-25, will see $33 billion over five years flow to those earning over $180,000 and $26 billion flow to those earning over $200,000.

The distribution of the government’s stage 3(a) tax cuts

This paper argues that the benefit of the final stage of the federal government’s income tax plan will flow overwhelmingly to high income earners, with almost a third going to the top 10% and more than half going to the top 20%.
Briefing paper

Cutting income tax: can we add the bacon to the 'hamburger and milkshake' tax cuts?

This paper reviews the case for personal income tax cuts, the various forms they could take, and the budgetary scope for cuts. It then suggests what the priorities should be.
Briefing paper

Company tax cuts: an Australian gift to the US Internal Revenue Service

One of the poorly understood impacts of a company tax cut is that there is little benefit to domestic investors because the way that company tax payments are credited against the tax payable by Australian owners of companies. The system of crediting company tax paid...