Combined tax levies for all levels of government in Australia reached $593.2 billion, or 28.7% of gross domestic product (GDP) in the 2020-21 financial year, according to data released by the Office. Australian statistics this week.
Taxation has become a major issue in the 2022 election campaign, with the federal government and the opposition debating how best to inject more money into consolidated revenue to pay for government services.
Figures calculated by the ABS reveal that governments of all political persuasions in all jurisdictions have gotten more from their citizens.
Statistics published by the ABS on tax revenue show that governments managed to choke off $593.2 billion in tax revenue in fiscal year 2020-21, representing a 7.5% increase in taxes collected ($41.5 billion) compared to the previous year.
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The ratio of tax collected by national, state/territorial and local governments to GDP has not fallen below 27% for nearly a decade, with 27% being the figure for fiscal year 2012-2013 .
This ratio peaked at 28.8% in 2018-19, fell back to 27.9% in 2019-20, but rose again to 28.7% for the 2020-21 financial year.
There was a 7.5% increase in federal government revenue in 2020-21, with tax revenue increasing by $447. $6 billion in 2019-20 to $481.1 billion in 2020-21.
Queensland has managed to outperform other Australian jurisdictions when it comes to getting the most out of its taxpayer citizens. Queensland tax revenue was $14.1 billion in 2019-20; it managed to increase its tax levies by 14.7% ($16.2 billion) in 2020-21.
The Sunshine State could benefit from an increase in revenue, but Victoria’s government coffers have seen a much more modest increase compared to other states and territories.
Victoria’s tax revenue increased by 2.2% in 2020-21, with the state recording $23.4 billion in 2019-20 from $23.9 billion in 2020-21.
The ABS release on national tax revenues coincides with a heated debate over various tax measures between the two main parties vying for government.
This includes a dispute between the Coalition and the ALP over whether a carbon credit companies may have to pay under an Anthony Albanese-led government is a “sneaky carbon tax” or a way to compensate for the inability to reduce emissions by adjusting the way they operate their business.
This article was first published by Mandarin.