Another day, another reminder that Scott Morrison isn’t up to the job of Treasurer and is more interested in out-dated Reaganomics and the Tea Party than paying off debt and protecting the Australian economy.
Scott Morrison said at a doorstop: “I don’t consider tax relief a cost to the Budget”. What a truly bizarre and looney tune comment to make.
This shows Australians everything that is wrong with the Turnbull Government digging massive structural holes in the Budget, courtesy of the $140 billion income tax and $80 billion big business handout while gross debt is projected to remain above half a trillion dollars.
Memo to Scott Morrison: cuts in tax do cost the Budget.
The Government is being fiscally reckless when it says it will bring the tax cuts forward if the economy improves, but will deliver them even in the face of a significant economic downturn: meaning either the budget will worsen substantially or essential services and supports will be cut yet again.
This latest line of thinking that somehow cutting tax pays for itself is concerning, because it suggests that if Australia faces another external economic shock in the future, and the revenue dries up, we won’t see tax cuts for big business or high income earners repealed, but more cuts to health, education and other basic services.