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International Investing / Australia (All-Ordinaries)


Subject:  Re: Changes to CGT Date:  9/22/1999  8:03 PM
Author:  demiller1 Number:  759 of 6186

The 'Ralph' and reduction in CGT is an attempt to induce overseas investment into Australia.

It was interesting that in commentary on our tax situation with another fool (US) he commented that our tax system (at present) is so onerous and monopolistic that it defeats the capitalist ideals. He is right when you think about it and compare with other countries.

The fact that it is tax effective to invest in companies on a negatively geared basis means that any new entrant into the markety MUST produce dividends in order that investors partake. Then the government takes 36% and then there is no substantial capital upgrade as it is necessary to keep the shareholders happy!

Anyone care to read the 'Fabian Society' and be prepared to comment on the socialists ideals of big companies and government?

Howards way (with Ralph in tow) is a slap in the face for small businesses and the mining industry. Take a close look at GST on the small business with income under $50K, GST on the service sector and the costs implied to convert to this system. Then look at the Ralph report and the loss on capital depreciation, directors and shareholders credit loans - Really intrigues me as to why they think it is a good thing!

Carmody might as this means that all receipts received are taxed by the payer!
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