Labor’s carbon tax will hurt seniors
13th July, 2011
Federal Member for Wide Bay, Warren Truss has warned that senior Australians living in Wide Bay will pay a high price for Labor’s carbon tax through higher costs for electricity, gas, food, water, transport and health.“Labor’s new tax will increase the price of a range of goods and services that pensioners and older Australians purchase on a regular basis,” Mr Truss said.
“As prices go up and up, it is inconceivable that any offsets that the Government might offer will be able to keep up, as the effect of the tax cascades through the economy hitting the price of everything.
“At a time when household budgets are already under pressure from rising prices, the Government has given the green-light to a massive hit on families, pensioners and singles. The carbon tax will not discriminate in who it affects, impacting on households and businesses.
“The Wide Bay region is also home to a significant number of older workers and self funded retirees, all of whom will face rising cost of living pressures caused by Labor’s carbon tax.
“They will either pay more tax for working harder or will miss out on payments altogether.”
Treasury figures show that seniors earning the full time average wage equivalent of $70,000 will face an increase in their marginal tax rate of 2.5 cents in the dollar from 1 July next year. A person earning only $25,000 and facing a marginal rate of 15 cents in the dollar will see this rise to 19 cents in the dollar.
Mr Truss said that Labor’s carbon tax diminishes the incentive to earn extra income.
“Also, self-funded retirees who do not hold a Commonwealth Seniors Health Card will not receive any extra Government payments under the carbon tax.
“Seniors have worked hard to take care of their own financial needs, yet the Gillard Labor Government is set to punish them by making their life even tougher through its carbon tax.”
