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Darwin can Progress, But it needs Progressives!

Sam Wilks
Nov 12, 2017
5 min read

Inflation is Taxation without Legislation - Milton Friedman

WARNING - Some Language, some might find offensive in the attached video.

In Australia we pay tax through several different methods, Income tax, payroll tax, company tax, business tax, Goods and services tax (GST), sales tax, stamp duty, capital gains tax, and through fines, penalties, due to the breaking of summary laws. In Australia most of our taxation is progressive, and based on income tables. Methods, or fee’s are reduced for those on pensions, aged, or unemployed to create a sense of fairness.

"A progressive taxation method works on the assumption that the penalty or contribution shall be based on affordability to give a sense of fairness."

"A regressive tax or tax method is a tax that takes a larger percentage of income from low-income earners than from high-income earners. A regressive tax is applied uniformly to all situations regardless of the payer."

"A regressive tax effects people of low-income more severely than people with high-incomes."

Progressive taxation is even included in our fines and penalties when dealing with many federal and state/territory acts and laws. In Australia, and Darwin in particular, councils attempt to enforce regressive taxation through uniform fines and fees. While it may be considered fair in some instances to tax everyone the same rates, it is seen as unjust to lower-income people and the vulnerable.

State and Territory local governments are not immune to regressive taxation methods. In several states regardless of land valuation or property type the rates are the same, parking fines generally all over are the same, residential tip fees the same etc. The most common forms of regressive taxation in our "Modern society" are arguably the GST, user fees and parking fines.

In 2000, a neoliberal government, on the advice from multinational corporations, and their donors implemented the GST. In regards to the GST, it is applied uniformly to all consumers, based on the value on what they buy. Even though the tax is uniform, lower-income consumers are more affected.

For example, imagine two people each purchase $200 of groceries and they pay $20 each in GST. The first person earns $2,000 per week, making the tax 1% of their income. In contrast the other earns $650 per week and the GST equates to 3.1% of their income. The person with the lower income pays a higher percentage of income, making the GST a regressive tax.

"In order to compensate for the clear social and financial divide created by a regressive taxation method, tax was abolished from several items including food. (this is not the case with prepared food)"

"But, as I have eluded to in previous blogs, just as we do not have "Rights", but we have "Privileges", taxation on food, I have no doubt, will come into effect in the future."

User fees levied by Councils on parking spaces are another form of regressive taxation. For example if two persons paid $5 per day for all day parking, the person with the higher income pays a lower percentage of their income to access the car parking space, while the person with the lower income pays a higher percentage. Although the parking fee is the same it constitutes a more significant burden on the person with the lower income, making it a regressive tax.

"When investigating town planning and future developments it is important that Cities do not push out the lower-income due to regressive taxation as they actively reduce the workforce of the commercial properties they seek to attract and seriously reduce re-development, expansion and the local government revenue."

Many local governments, Australia-wide have been influenced by neoliberal idealism taught in many of the economics departments in universities. The lack of real world financial intelligence in most government bureaucracy, is impeding the progress of the nation.

The purpose of a democratically elected government is to ensure that the community is adequately represented when bureaucracies fail to meet the needs of society. The Council’s job is to listen to, guide and create in association with an incumbent bureaucracy a progressive outcome.

"Many local governments have attempted to create a perception of fairness by valuing and charging different fee's for car parking locations. This however has nothing to do with creating fairness, but everything to do with price gauging."

"Price gauging is frowned upon, generally in the private sector and in many cases can be prosecuted when used in conjunction with price fixing. However, when the practice is openly used by local governments it is generally accepted that it is too hard to prosecute your local government."

The lack of funding ,and representation, for the public, through auditors, and ombudsman is in direct correlation to the progressive, or, lack their of, representation of the public.

I'm not discussing socialism, socialism sucks, its like communism, and puts all the power into the hands of a few. Those systems are based on nepotism and just like inbreeding creates mutants (maybe they think are trying to literally create the two heads are better than one scenario).

"Socialism is a must in a household, but it doesn't work in a community, cos I don't want to give my money to your ugly demented child who refuses to work, and be a contributing member of society (you know who I'm talking about Janice)."

I'm discussing democratic, economic capitalist, intelligent, and progressive society. Its a big and long title, so I like to call it "Commonsense".

The public, mum, and, dad investors, home buyers, tenants, workers, the lower income, middle class and upper-middle class are at "War".

The Battlegrounds are on our streets, the battles happen daily, and are with our local government, representing the needs and wants of corporations, both Australian and foreign, trying to take everything they can from you. The harsh realisation is that as George Carlin said "Its a big Club, and your Not in it"

So how do you get ahead? how do you play the game and win?

Well, keep reading, listening and viewing my blogs (here or on samwilks.com.au) and I will guide you to some answers. Not the answer, because If I just came out and told you, you wouldn't accept it anyway. You'd say he's a smart man, he's calling for a revolution or something? No, I'm Not.

I am asking you to make some investments, not all of you, because not everyone has the will-power or want. But everyone can do it. If they want. To make a change. Some of the investment is time, some is money, some is in bricks and mortar, some in education. I am not better than you. I can tell you, with evidence, those stuck in the nepotism, and depravation of regressive power, definitely are not better than you. Everyday one, or ,the other is found with their fingers in the cookie jar, or worse.

Making a change is not easy! It is a grind. It is waking up in the morning and making a choice. A choice, not to kick the cat, yell at your kids, get frustrated at your job. Its a choice to "get shit done". If you want to have influence, then Its all about money. But it's where you invest it that matters. "Live where you want!". But, INVEST where you make an impact. Why? Because if you want to get into the club, it take money, and influence. That's the journey we are both about to go on, so strap in, and enjoy the ride.