TRUTH in it's simplest form

[facthunter]

Yes it's loaded against the little bloke So is GST. Paying tax is optional for the very well off. Nev

[Dax]

24 minutes ago, facthunter said:

Yes it's loaded against the little bloke So is GST. Paying tax is optional for the very well off. Nev

Most people don't realise companies rarely pay any GST, and yet they pass on the GST to the customer. When they brought in the GST, they were supposed to get rid of all other taxes, but they did the opposite and increased some taxes, whilst introducing more taxes.

 

Liquor taxes are a prime example of how the system works, major corporations who produce cask and high numbers of packaged alcohol, have a different tax rate to small brewers, distillers and wineries. To make it worse, a major liquor corporation can buy stock from small producers and still sell it cheaper than the producer sells it, because they can claim their purchase as a bulk purchase which has a much lower rate of tax and GST exempt. Then they on sell it lower than the suppliers, who either has to sell out to them or go under.

 

That's why so many small producers end up in the hands of corporations, or they go broke, they can't compete with large suppliers who operate under different tax regimes. We've been known to buy alcohol from woolies cheaper than we can from the producers, including large breweries.

 

That's another political truth in it's simplest form, huge bias towards large corporations.

Edited September 26, 2021 by Dax

[facthunter]

I was a winegrape grower and I know the wine went overseas at a much cheaper  price than sold for here. I've seen the invoices. IF you are into wine then there's good  AUSTRALIAN stuff available at a reasonable price IF  you know what you are buying. Less and better is the go. You enjoy it and don't get hangovers. Win Win. Nev

Edited September 26, 2021 by facthunter

[octave]

12 minutes ago, Dax said:

Most people don't realise companies rarely pay any GST, and yet they pass on the GST to the customer.

Just to clarify this, the company adds the GST to the goods  or services, the customer pays the price including the GST which the business then  pays to the tax office.   The business in practice is acting as an (unpaid) collection agency.   

[facthunter]

Of Course and it's a dead hand on everything sold. Corman whose just gone to the OECD in Brussels is going to push (on us) an increase and broaden the base. That will be the final straw for the lower paid..  IF I were Da King I would abolish it . There's too much paperwork in collecting it. It used to be applied at the wholesale level at several rates. Higher on luxuries.  I don't think it got rid of other (state) taxes either like was promised.. . Nev

[Dax]

39 minutes ago, octave said:

The business in practice is acting as an (unpaid) collection agency.   

Was mainly referring to the huge latitude of GST and tax exemptions available to the corporate world, we never pay GST for anything we buy, other than commodities. Then we can claim depreciation, or write it off under some tax scheme they've introduced without telling anyone. Those changes to tax rules, don't go before parliament, they are dealt with in house, with the supposed direction of the minister. Most seem to be introduced to suit a certain commercial situation, to give someone a short or long term advantage in business. No different to huge corporations getting cheaper energy, road and other tax relief as they call it.

[onetrack]

The greatest ripoff with GST was on the introduction of the tax, every single item any secondhand dealer had in stock, immediately had GST applied to it. That was a massive tax windfall for the Govt.

[Fliteright]

I accept GST on goods but SERVICES is where it's a rip off! Hate to imagine how many 'cash' jobs get done out there!

Edited September 26, 2021 by Fliteright

[old man emu]

12 minutes ago, Fliteright said:

Hate to imagine how many 'cash' jobs get done out there

Or how much a reduction in labour costs you can get for paying cash.

 

The Asian noodle takeaway I frequent doesn't accept plastic for walk-in orders. I wonder how much of that doesn't get recorded in the accounts book. I suppose they can't hide purchases made through the food delivery services like Uber and such.

[facthunter]

Using your noodle makes more moolah. It's nice to be good but you don't want to be good, for nothing. Nev

[willedoo]

8 hours ago, Fliteright said:

I accept GST on goods but SERVICES is where it's a rip off! Hate to imagine how many 'cash' jobs get done out there!

The definition of services is very broad. If you import something into the country and pay customs duty, the government then charges you 10% GST on that duty paid. They consider that charging you duty is a service provided to you. Very warped people run this country.

[Marty_d]

9 hours ago, old man emu said:

Or how much a reduction in labour costs you can get for paying cash.

10%, I reckon.

[pmccarthy]

Better than that coz they don’t pay income tax, the discount is more like 30-40%.

[facthunter]

Most businesses aren't set up to handle it.  OK if you deal in second hand books or something. Nev

[Dax]

On 27/09/2021 at 8:30 PM, pmccarthy said:

Better than that coz they don’t pay income tax, the discount is more like 30-40%.

Many years ago we used to pay lots our casual workers in cash, it saved us money and it saved them money. The money still went round in the system, but the government missed out on income tax.

 

Now that's almost impossible, the reporting requirements get tougher every year and we can't get workers comp without being in the tax system now, when in the past we could. I once worked out how much we saved and it came to less than 5%, the thing is the employer doesn't pay the tax, it comes out of the employees money. We used to pay casuals more because they didn't have the super component, but that's changed and now everyone we employ pays tax, not matter how many hours they work.

 

Have to add I say we, but I no longer have much to do with the company, my kids run it. I'm just the major shareholder and chairman of the board, which is unpaid as I have enough income from my shareholding to keep me alive and I don't spent much money. My lady is the money spender and luckily she's been stuck in Sweden for the last 18 months, so my bank balance looks great.😇

[Marty_d]

23 hours ago, Dax said:

My lady is the money spender and luckily she's been stuck in Sweden for the last 18 months, so my bank balance looks great.😇

Better hide some of it before she gets back, she might go on a spree.

[Dax]

16 minutes ago, Marty_d said:

Better hide some of it before she gets back, she might go on a spree.

Nah she's been working in a hospital and saved a heap of money she says, has no rent or other expenses, I have a plan to keep my money from her, I hope.

[pmccarthy]

Is she one of those leggy blondes who ride their bicycles bolt upright across the Vasabrond? Give her your money.

[Dax]

11 hours ago, pmccarthy said:

Is she one of those leggy blondes who ride their bicycles bolt upright across the Vasabrond? Give her your money.

She's blonde and leggy, swims in the lake every day and walks 5klms, in winter has a gym. Not living near the Vasabrond and doesn't have a bike, she walks everywhere. As for money, she'll forget about buying things for awhile when she sees her keyboard set up with the new Hammond organ, mixer and amp. That will keep her happy until we get back on the road then watch out local op shops, here comes the lady scavengers.