Politics

People Are Telling The Government To Take Their $10 A Week Tax Cut And Shove It

Does $10 a week really make a difference?

$10 Tax Cut Budget

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It’s budget day. Which means politicians are droning on about tax cuts, surpluses, rebates, jobs and growth. But it looks like one proposed policy has got people up in arms: and that’s the idea to give a $10.50-a-week tax cut to low income workers.

Ah Yes, That Sounds Like It’s Enough

The way they’re doing it is this: at the moment, there’s a little perk called the Low Income Tax Offset (LITO). For workers who earn less that $37,000 a year, they can grab an extra $445 annually through the scheme.

The government will announce tonight that this program will be bumped up: low income earners will now be able to nab $1,000 a year, and workers earning up to $90,000 a year will be able to access some of that grand.

That’s where the $10.50 figure comes from: people earning below $37,000 a year will get an extra $10 a week.

Thanks, But No Thanks

A lot of people are mad that the government thinks this tax cut will do. Using the #keepmytendollars hashtag, people are suggesting other ways that money could be spent.

The annoyance is compounded by a bunch of Liberal politicians saying recently that they could live on Youth Allowance, which amounts to around $40 a day. Julia Banks and Tim Wilson, who are both federal MPs, have said that they could manage. They both earn at least $200,000 a year.

Milkshakes And Hamburgers

Labor deputy leader Tanya Plibersek responded to the tax cut by saying:

“It looks like tonight’s tax cut won’t be a hamburger and a milkshake. You’ll have to take your pick — it’ll be a hamburger or a milkshake.”

She’s not talking nonsense: more than a decade ago, a Liberal politician said that their 2003 tax cuts might not be enough to buy you a milkshake and a sandwich.

Buzzfeed fact-checked this statement with impressive thoroughness, and found that you would indeed struggle to buy both a milkshake and a hamburger for $10.50.

Expect to hear more about this one in the coming days — treasurer Scott Morrison will hand down his budget tonight at 7:30pm.