Salvation in death and the GST

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Some painful tax measures will need to be considered to close the deficit gap, writes MBS associate professor, Mark Crosby

The budget last week clearly laid out the challenges facing the government as it tries to balance its books with the commodities boom behind us.

It has rightly been criticized for relying on predictions of a booming economy in two years' time to generate the revenues that will back a surplus in six years. Forecasts that far ahead are notoriously unreliable, but at the very least the government faces some tough choices in coming years, and it would be wise to prepare for some painful tax and revenue measures once an economic recovery is under way.

The right choices on th…   [Read Full Text]