The Greening of Labor's tax policy

 

Bill Shorten’s war on business has been heavily influenced by the Greens.

In its response to the 2010 Henry Tax Review, Labor immediately ruled out changes to the capital gains tax discount. Soon after that, Treasurer Wayne Swan said that ending negative gearing would be “economically disastrous”.

But after the Greens decided to launch an attack on business in 2015, Labor changed its tune and followed suit.

TIMELINE OF LABOR’S WAR ON BUSINESS

  • May 2015: the Greens announce that they will end negative gearing.
  • August 2015: The Greens announce that they will increase the capital gains tax.
  • February 2016: Bill Shorten announces that Labor will end negative gearing.
  • February 2016: Bill Shorten announces a 50 percent increase in the capital gains tax.

Business should be left with no doubt that a Labor government beholden to, or in coalition with the Greens would cause havoc.

These taxes increases are not the only area of policy alignment between Labor and the Greens, but they are indicative of the anti-business agenda of both parties.

Their introduction would be only the first tranche of a tax assault that would be levied on the Australian businesses by Labor and the Greens to pay for their extravagant and uncosted promises.

At a time when we need more investment to grow the economy and create jobs, Labor and the Greens want to raise the tax on investment and discourage it.

Labor’s changes would be bad for business, bad for investment and bad for jobs.