Originally Posted by
Icarus2001
Yep, I am calling it now. In 2021 the GST will rise to 15%.
If you crunch the numbers after every Aussie Federal budget, you can see that GST should be around 17.5% to make the books balance and get rid of the State and Federal taxes and duty they promised to abolish when GST came in. I was privy to some of the conversations in Canberra about the amount to charge and they settled on 10% because it was an easy figure to calculate, not because it would help balance the books.
I cannot see them moving it to 15%, but going all the way to 20% - "just double what you are paying now and be glad you are alive".
As an aside, I also was there when they did the projections for old age and the pensions and how they calculated the amount of super to collect. The projections to the year 2015 were frightening for how much drain on the public purse old age pensions would be, and they also decided on the amount based on 'what the public could bear', and 'political survival', rather than what they would need to support the aged and needy.
Even before the Covid-19 cash splurge, we were still borrowing from the future and will be for many years, even with the gradual rise on the super amount each year.