Private Health loss of Rebate for some

[Deleted member]

Great graphic on the front page of today's Australian. It shows the long term tax take as a percentage of GDP. I suggest all those who think the current government is over taxing them get hold of the Australian and have a look. Then you might realise that your impression/view/wild speculation is wrong.

Can't find it on line. Do you have a link?

 

[medhead]

Listening to ACOSS it's the single mums who are getting screwed.

Can't find it on line. Do you have a link?

I only have hard copy, will try uploading some pictures.


Sent from the Throne

 

[medhead]

Pictures aren't really going to do it justice. But here is a snap from the current government end of the graphic. Red line is tax as a %GDP, black is spending.

View attachment 7332

See that little dip in the red. It was previously at that level under keating. Before that in the early part of Fraser's term and all of Whitlam and McMahon' terms. The forecast is getting back towards the average of Howard's term as PM.


Sent from the Throne

 

[pauly7]

How many (higher income) people here are pre paying their 2012 - 2013 private health care before June 30 to get the last out of 30% rebate??

 

[wafliron]

Pictures aren't really going to do it justice. But here is a snap from the current government end of the graphic. Red line is tax as a %GDP, black is spending.

See that little dip in the red. It was previously at that level under keating. Before that in the early part of Fraser's term and all of Whitlam and McMahon' terms. The forecast is getting back towards the average of Howard's term as PM.

Interesting graphic, thanks for sharing. Now just wait for everyone to pile in here complaining about how the graphic shows that the current government is spending way more than the tax take, completely ignoring the forecast return to "equilibrium" and stimulus that helped get us through the GFC relatively untouched

 

[wafliron]

How many (higher income) people here are pre paying their 2012 - 2013 private health care before June 30 to get the last out of 30% rebate??

That's a good idea... how do you do it? Just ring up your health fund and ask to prepay?

 

[eastwest101]

Is it possible to do that? I mean with the ATO, I am sure the Health Insurers are happy to take your money 12 months early.

 

[MEL_Traveller]

That's a good idea... how do you do it? Just ring up your health fund and ask to prepay?

Is it possible to do that? I mean with the ATO, I am sure the Health Insurers are happy to take your money 12 months early.

they were talking about this on the radio a couple weeks ago... so it seems like the idea might have legs. I know when I go overseas for extended periods they always take out the month I will return in advance (which is 6 months away) so i guess it is possible to pre-apy.

 

[SFSC]

Skimmed a story in the SMH yesterday which mentioned prepayment

The loophole that lets you keep the health rebate

 

[medhead]

Interesting graphic, thanks for sharing. Now just wait for everyone to pile in here complaining about how the graphic shows that the current government is spending way more than the tax take, completely ignoring the forecast return to "equilibrium" and stimulus that helped get us through the GFC relatively untouched

Unfortunately, the risk with not being able to show the whole graphic. Basically since 1970 there have only been 4 years when spending was less than tax take. Those were 2004/05 to 2007/08. So overall it wouldn't be a compelling argument to make.


Sent from the Throne

 

[simongr]

Yep some of the funds are allowing this. People pay in all sorts of ways - monthly or even annually in advance. It might also help you avoid some part of the next year's increase but that might be offset by the loss of interest earned on the money you would have had in the bank for that period.

 

[pauly7]

Is it possible to do that? I mean with the ATO, I am sure the Health Insurers are happy to take your money 12 months early.

Yes, the government has said (roxon) that people will be able to do it, they know about the loop hole but they won't be chasing down people about it.

I'm doing it for sure!

 

[drron]

All depends on the spin.Tax as a % of GDP fell in recent years because the economy was in a hole,profits less so less tax to be payed-nothing to do with Wayne Swans economic management.
In the SMH of the same day they had figures on spending as a % of GDP and it does not agree with your graph.This financial year they give the figure of 26.1% of GDP for government spending.And that does not count the extra spending now announced for June or the off balance sheet items such as the NBN and Green Business scheme-neither of which are inconsequential.

 

[pauly7]

Yep some of the funds are allowing this. People pay in all sorts of ways - monthly or even annually in advance. It might also help you avoid some part of the next year's increase but that might be offset by the loss of interest earned on the money you would have had in the bank for that period.

30% discount vs what interest rate are you getting ATM simongr

 

[medhead]

All depends on the spin.Tax as a % of GDP fell in recent years because the economy was in a hole,profits less so less tax to be payed-nothing to do with Wayne Swans economic management.
In the SMH of the same day they had figures on spending as a % of GDP and it does not agree with your graph.This financial year they give the figure of 26.1% of GDP for government spending.And that does not count the extra spending now announced for June or the off balance sheet items such as the NBN and Green Business scheme-neither of which are inconsequential.

You'll probably find the SMH figure includes GST. The graphic I'm referring to from The Australian gives the source as Treasury. What is the source of the SMH number?

Your reason for a lower tax take is but a theory, given the pattern isn't always repeated for earlier downturns. However, I'm pretty sure that I made no comment about Swan's economic management in relation to the tax take. I simply stated that the tax take is very low compared to the historical situation.


Sent from the Throne

 

[amaroo]

Yes, the government has said (roxon) that people will be able to do it, they know about the loop hole but they won't be chasing down people about it.

I'm doing it for sure!

+1 here...love a loop hole!

 

[kpc]

How many (higher income) people here are pre paying their 2012 - 2013 private health care before June 30 to get the last out of 30% rebate??

Going to do it just before July 1...have put note on my desk!

 

[simongr]

30% discount vs what interest rate are you getting ATM simongr

I was referring to the expected price hike of about 4.5% in April next year. If you pay now in advance the period you pay in advance to will be at the current rate rather than the increased rate.

 

[pauly7]

I was referring to the expected price hike of about 4.5% in April next year. If you pay now in advance the period you pay in advance to will be at the current rate rather than the increased rate.

I was referring to your lost interest rate earnings

 

[Stephen65]

My membership year falls on June 24 anyway so I will definitely be prepaying an entire year (or longer if they let me).