Hi,
So. They are raising the tax on cigarettes, in a move to stop people from smoking, and they are being applauded for this amazing - health conscious move. What a great thing to stop people smoking, and we get $5.2B so we can have some nice things! What a flawless plan.
Riddle me this. If it works, and people stop smoking, how are they going to get their $5.2 billion? Why is nobody asking that question? It makes it pretty damn obvious, that they know the elasticity of tobacco and are more than willing to suckle from the tit.
Same goes with FBT reform, in a way. So, if people just stop leasing - where is this extra money coming from?
This is about as well thought out as the MRRT.
Cheers,
Nik
hi nik,
i agree with this completely.
firstly the cigarettes, yes it is a great health conscious move, and it will potentially force alot of people to consider if not actually quit smoking purely because they can no longer afford it. but like you say, if this happens, and people quit smoking, obviously we are going to have a loss of revenue from this lovely new tax hike, so where does the money come from then? people are too busy looking at the side of "oh people are going to quit smoking, this is great!"
the FBT- me and my father were talking about this just the other night. we currently have an ailing car industry that is going backwards faster than god knows what, and they make that move? Ford are closing down, Holden probably arent far behind and are more than likely surviving on Government handouts, and then they make this move which has put numerous people out of work, and will certainly make alot of people rethink their next moves in terms of cars. leasing in my opinion was an excellent option for both employers and employees, and had great benefits to everyone, meant the sale of new cars, kept people employed to run the leases, to service the cars, i could go on. but get rid of that, the benefits of all this are gone and its now costing jobs.
two very poor decisions from the current government i think, the sooner this election is called the better.