The news that there’s backlash against a proposed “Flood Tax” saddens and disappoints me. Here’s the deal: Julia Gillard, our illustrious Prime Minister, yesterday announced a $5.6 billion flood recovery package, made up of a one-off $1.8 billion levy and $3.8 billion worth of funding cuts and deferrals.
It exempts anyone earning less than $50 grand
It is calculated at half a percent for anything you earn over $50 grand, and one percent of anything you earn over $100 grand.
And obviously it exempts flood victims.
In real terms this means that those getting by on a $150K wage will pay up about $750 over the year but on average wage earners are going to pay around $80 next financial year to help get the state of Queensland back on its feet. This is the cost of a couple cartons of beer or a night out at the movies for the family.
Me, I’m willing to pay this levy and I can understand there might be some opposition from those who’ve already willingly donated money to the cause, but it’s not like it’s going to break anyone’s bank. I’m not exactly living large on six figures but I don’t think I’ll miss that money.
- Flood levy ‘just plain dumb’: Hockey (theage.com.au)
- ‘All should pay as all are affected’ (theage.com.au)
- Australian government to introduce ‘flood tax’ (marketwatch.com)
- Australia unveils new flood tax (bbc.co.uk)
- Australia: Flood Tax To Pay For Clean-Up (news.sky.com)