Kasz216 said:
fordy said:
Cobretti2 said:
The tax system is a whole thread on its own haha. In a nutshell the more you earn the higher tax bracket you fit into. This I do not mind as my taxes should go to funding essential services. What people mind is the small BS taxes around the main tax. In essence the harder you work the more penality taxes you have to pay like:
- excess if you do not have private health cover. should this not be my choice if I want private health? or to use the public system which my taxes already pay for?,
- flood tax becuause morons keep rebuilding in known "flood plains" knowing well that a flood will happen there again. Hell the banks will not even insure or give a loan for your house if you build there, so why does governemnt allow them to build there?
- and finally being taxed on your savings, which have already been taxed when you earned the money initially. why should I be penalised for being smart and saving my money to earn inteerest? does the gov want me to join the people who spend all their money on drinks, instead of be responsible?).
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- You mean capital gains? It depends on who you ask. Let me start by asking, what about people who have millions in the bank and live off the interest? Should they be able to live off public resources paid by worker's taxes? An income by investment is still an income. If you ask others, they'll say bank interest is for chumps, since there's many other ways to legally avoid taxes, such as negative gearing on property investment.
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Do you not pay taxes on Bank interest in Austrlia?
You do in the USA.
Not the Capital Gainst tax rate either... you pay the full income tax rate on that stuff.
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We pay bank interest taxes in Australia, it's still classed as income. However, it's not exactly the best investment. A lot of people invest in property, rent the place out for lower than the interest repayments and claim the losses on negative gearing (tax breaks on your main income). Easiest way to accumulate property in a short time.
http://en.wikipedia.org/wiki/Negative_gearing_(Australia)
