Current tax system

Setting the standard

The National Tax Reform Summit (which was held in Canberra during 1996) set out the criteria for a good tax system. These are:

• The tax system must be simple.
• It must have a low compliance cost.
• It must be transparent (no hidden taxes).
• It must not be avoidable, especially by the rich.
• It must be adequate (raise sufficient revenue).
• It must be socially equitable.
• It must be efficient.

Our current system

The Australian Treasury published a number of reports after it examined our current tax system. Tucked away in a corner is the amazing statistic that we currently have 125 different taxes that affect Australians. The majority of government taxes are from 3 sources, namely:

• Personal income tax (44.8%)
• Company tax (22.3%)
• GST (15.7%)

Our current taxes

Below is a list of a few of the taxes that you pay - from the full list of 125 taxes that exist within Australia. Let's not forget to add to the list the new Carbon Tax.

• Accounts Receivable Tax
• Airline surcharge tax
• Airline Fuel Tax
• Airport Maintenance Tax
• Building Permit Tax
• Cigarette Tax
• Corporate Income Tax
• Goods and Services Tax
• Death Tax
• Dog License Tax
• Driving Permit Tax
• Environmental Tax (Fee)
• Excise Taxes
• Federal Income Tax
• Federal Unemployment (UI)
• Fishing License Tax
• Food License Tax
• Petrol Tax
• Gross Receipts Tax
• Health Tax
• Hunting License Tax
• Inheritance Tax
• Interest Tax
• Liquor Tax
• Luxury Taxes
• Marriage License Tax
• Medicare Tax
• Mortgage Tax
• Personal Income Tax
• Property Tax
• Poverty Tax
• Prescription Drug Tax
• Real Estate Tax
• Recreational Vehicle Tax
• Retail Sales Tax
• Service Charge Tax
• School Tax
• Telephone Federal Tax
• Telephone Provincial and Local Surcharge Taxes
• Telephone Minimum Usage Surcharge Tax
• Vehicle License Registration Tax
• Vehicle Sales Tax
• Water Tax
• Watercraft Registration Tax
• Well Permit Tax
• Workers Compensation Tax