Bill Shorten was recently railing against so called ‘Business Class’ tax payers, who use trusts etc. to minimise their task…(i.e high income earning investors etc).
Meanwhile, poor ‘economy class’ tax payers are slugged with the biggest tax burden because they don’t have as many options to minimise their tax.
So, basically, the ‘elite’ are at the pointy end of the plane, sipping Chateau Lafitte… while the ‘cattle class’ drinking reconstituted orange juice in a plastic cup….pick up the tab.
It may pick up some votes for him – but it’s not true.
Because, let’s talk about “Ingrid the high-income earner”.
She runs a small business doing $3 million of revenue…that gives her an income of say $250,000 per year.
She also has some properties, so gets some tax relief from negative gearing and depreciation.
And, yes, she uses a discretionary trust to help minimise her tax rate, by distributing the income to her partner.
But, be that it as it may….
When you take into account…
- Company tax…
- Personal tax
- Property taxes such as stamp duty
- Council rates
- Payroll tax
Our friend Ingrid might pay as much as $270,000 per year in tax across her different entities!
That pays for the salaries of at least 4 civil servants!
Ingrid, should be getting a letter of thanks for services to the community!
But, no instead she gets bashed for paying a slightly lower tax rate, than the average punter.
Because, here’s the fact.
It’s NOT that the people in the front seat of the Australian economy are paying less tax.
In fact, 2014/2015 the top 3% of income earners paid a whopping 30% of the overall tax intake!
So, the reality is… ‘business class’ tax payers are not only paying their way…but they are also paying for 10 other people to enjoy the ‘flight’ of the Australian economy.
Nothing wrong with that – it’s the price of a civilised, compassionate society.
But let’s not forget this reality…. that when having this discussion of ‘fairness’….
Now, I’ve got that off my chest….
Let’s talk about YOU….and your family’s wealth.
What’s the solution to all this taxation…. if you want to get ahead in life.
Because it’s hard to build wealth – when the government takes $1 out of every $3 you earn.
The secret is to skyrocket your income…so you still have plenty of money left to invest and enjoy a great quality of life.
And, the best way to do that is by having a highly specialised income-producing skill.
What can you do that earns you up to $1,000….$2,000 even $5,000 per hour?
And one of the most profitable income-producing skills for the average person is ‘small developments’.
And, at his new free event, self-confessed ‘Business Class’ property investor Nhan Nguyen is going to show you….
How to potentially create up to $185,000 per year income in real estate – without using your own money, and without even getting a bank loan
How to buy properties at up to $60,000 below market value – by getting motivated sellers to call you!
How to create multiple streams of income in real estate – so you can go away on holiday and have money in your bank account when you get back
How to potentially make up to $150,000 in a single deal – without even speaking to a builder