The Valor Blog.
Investment News and Views, Direct from Our Team.

Where is the money going to come from?

With the tug of war between returning to surplus to keep the ratings agencies happy and stimulating the economy in what we believe is a coming downturn, the question for future tax revenues starts to come into question. Ken Henry’s mining tax should have been introduced many years ago, however the power of the mining companies was enough to bring down a prime minister over this issue.

Where will the tax revenues come from when China is not building empty buildings?

Will they tax super over 60 at some stage over the next decade or so? I am not so sure this is out of the question.

With an aging population requiring higher medical expenses and a lower working population percentage in the future, Abbott’s fantasy idea that we can have a Howard style era is just that, fantasy.