Summary
A proposal was made to impose a heavier tax on
childless families in Australia that have been making over the median household
income $57,400 since 2011. The idea was suggested as way to alleviate the overwhelming
financial burden of families with children in order to make for a fairer
society and help bring up the next generation of taxpayers for Australia. By taxing childless families who meet the
requirement then working families with children could pay a lower tax. This idea recently floated into the US and
has become a controversial proposal. While in Australia the cost to raise two Australian
children up to 21 years of age was $800,000 according to National Centre for
Social and Economic Modeling last year. The article mentions how Australia’s
birth rates are still way below what they need to be for replacement, family
sizes are continuing to shrink, and families are being delayed because of this
outrageous expense to raise children. So
the question asked was whether Australian childless families are
family-friendly enough to contribute in this way to those who are burdened with
children or do they continue to live out the idea that is “every man, woman and
their children—and every double-income no kids unit—for themself?
Analysis
The positive spectrum of this tax on childless families
is the hope that by lowering taxes on families with children it will give them
more money to utilize towards child care expenses and potentially open up the
opportunity for more women to enter the workplace of Australia. There was a comparison made between those who
are parents working and non-parents working who make the same income while
working the same hours but how those with no kids have a more disposable
income. On the negative end of the
spectrum this becomes a social issue among many non-parents who disagree with
being taxed more. Non-parents may have infertility or other problems preventing
them from having a family and shouldn’t be taxed more because they don’t have
children as in some cases it may not be by choice. One of the critics made by an individual said
they wouldn‘t mind paying extra taxes if all the concessions and benefits
currently allotted to families was eliminated like here in the US but according
to the individual, by having both a tax fund supporting families and reducing
tax burdens was inefficient. It can be
controversial because so many people believe that families should think twice
before having kids if they can’t afford them then don’t have them in the first
place it’s as simple as that.
Published : April 2, 2014
http://www.news.com.au/lifestyle/parenting/should-childless-people-be-taxed-to-help-families/story-fnet085v-1226872378685