The Budget Would Be In Surplus If Government Kept Howard’s Tax Levels, Says Bowen

Getty/ Stanley Chou

Treasurer Chris Bowen has said if taxes were at the same level employed by the Howard Government the country’s budget would currently be in surplus.

However, while surplus reamins a goal the AAP has reported Bowen as saying higher taxes isn’t the way to achieve this and would not help the country.

“It’s a statement of fact that if we had the same tax to GDP ratio as the Howard government had, we’d be in surplus today… That’s not to say we aspire to get back to that tax to GDP ratio because we don’t,” Bowen said.

Accused by the Opposition of having higher taxes under the Labor government, Bowen has hit back at the ‘nonsense’ claims.

“We’re a lower taxing government than the Howard government was,” Bowen said.

The AAP reported that the treasure backed Labor’s position to not make changes to GST however said efforts to make the tax system more efficient need to be made.