Proposed by the government is a Super-Tax on large mining companies.
This tax will (cough) "pay for" the retirement savings of the working population.
The govt will pull a swifty by passing a law forcing employers to pay an extra 3% byond each employee's wages into a retirement superannuation fund. (Currently 9%, will increase to 12%.)
Employers who happen to be a company will have a reduction in income tax of 1%.
Govt receives big tax $$ from mining co's.
Employers pay an extra 3% of payroll.
Why is no journalist asking the obvious question of the government?
Yes, there will be a reduction in company tax of 1%.
Employers who are not companies (there are many) get nothing, but have to pay 3% extra of payroll.
Government ministers (& apologists) are lying through their teeth when they say that a big tax on profitable mining companies will fund superannuation increases. Or else they are too stupid to understand how it will work.
Employers who are companies get a tax cut of 1% of taxable profit, but pay an extra 3% of payroll.
For a significant number of employers (if not most) payroll is up to 5 times greater than taxable profit.
We'll choose an example of (say) a pub. This pub is owned by a company and makes a taxable profit of (say) $100,000. Thus the tax cut will "give" this pub $1,000.
The payroll for this pub is $400,000. Thus the extra superannuation payment is $12,000
Costs go up by $12,000
"Paid for" by $1,000 less income tax.
Government (& apologists) are either lying or stupid if they claim this big-feller mining tax will pay for superannation.
Lying or stupid. There is no third option.