TAFKAS is not a tax expert and clearly there are material differences between the US and Australia. But … according to research from the Joint Committee on Taxation of the US Congress:
suggests that for every 10 percent increase in capital-gains taxes, capital gains from stock sales fall about 8 percent in the long run because of fewer sales. In many cases, especially in the short run, the increase in the tax rate is swamped entirely by this effect, meaning tax hikes on capital gains could lose revenue.
A tax increase that does not generate revenue and potentially loses revenue. Hmm. Has Mining Tax Swan been consulting in the US recently?
One also wonders what spending the ALP has booked against its tax hike windfall?