Yes, I know, I know. It’s not like the Fairfax media to beat up on taxation. This morning, however, there was this interesting story in the SMH:
The tax on an Australian family earning $82,000 a year has risen to the second highest rate in the developed world, figures from the OECD show.
Australia’s tax level now trails only Denmark’s for a single-income family earning $82,000 a year with two children, according to the report.
The Organisation for Economic Co-operation and Development report into taxing of wages, to be released on Wednesday, found the average tax on a family earning $82,000 a year dropped from 25.6 per cent in 2000 to 21 per cent in 2008, before rising to its current level of 24.3 per cent under the Labor and Coalition governments.
While Sweden offers families virtually free childcare and the UK will cover any medical expense under their NHS, turns out, you’re paying more tax than BOTH nations, while getting less in return.
It’s been revealed that Australian families with two children, and earning a single-income salary of $82,000 a year, are now being slugged with the second highest tax bill in the developed world.
According to the Organisation for Economic Co-operation and Development report, Australia was only trumped by Denmark when it came to tax levels.
Except for one small problem – that is the overall figure that neglects to include welfare. Those data are found on the very next page in the same report.
Now, all of a sudden, the average tax rate is 13.2%, down from 18.4% in 2000, and certainly not the second highest in the developed world.