NEWSFLASH! In September I will join The Conversation as its Business and Economy Editor. I have been honoured to work at The Age for the past ten years, originally alongside the legendry Tim Colebatch, and for the past four years as economics editor in my own right.

At The Conversation, my job will be to make the best thinking from Australia's 40 univerisites accessible to the widest possible audience. That means you. From the new year I will also write a weekly column.

On this site are most of the important things I have written for Fairfax and the ABC over the past few decades. I recommend the Search function. The site is a record for you, as well as me.

I'll continue to post great things from The Conversation and other places here, and also on Twitter and Facebook. Enjoy.

Thursday, October 01, 2009

It's time to properly tax super, and the 50% discount for capital gains looks silly as well - Henry


Actually he thinks everything about the way we tax savings is silly.

Here's the key graph from the talk Ken Henry delivered today in Adelaide:




Super contributions are negatively taxed, big time. Rental properties and shares are also negatively taxed big-time, but only if they are funded by debt.

Make sense?

Meanwhile savings parked in bank accounts are taxed massively - at way above the saver's marginal tax rate.

Make sense?

Hold on.

This speech throws the lot into the mix.