ALP leader Anthony Albanese continues to embrace Labor’s most shameful election policy while dodging questions about whether he’s scrapping it – or not. 

Labor’s 2019 franking credit proposal was nothing short of a political mugging of low-income and elderly Australians. 

Despite admitting the policy was a losing factor in an unlosable election, Albanese is hinting at retaining it, but in a different form. 

When recently questioned, Albanese said: “We won’t be taking the same policy to the election”.

OVERTAXING

What does such spin even mean? For starters, it suggests Albanese, like Shorten, has no problem unfairly taxing Australia’s lowest earners.

Which is precisely what the 2019 franking policy was deceptively designed to do.

Labor’s franking credit policy, if implemented, would have refused to refund overpaid taxes on share earnings to all people on $37,000 a year or below.

Those fortunate to earn more, however, would continue to receive their full tax refund like everyone else.

If Labor tried this same stunt on the wider community, the Party would cease to exist within an election cycle.

SHROUDED

The less you earned under this hare-brained scheme, the harder you were punished. Those on $18,000 a year, for example, would have had $5500 of it swiped by Labor. While those on $37,000 would lose a further $2000.

The term franking credit is confusing and was always meant to be. Being such a highly dishonest policy, Labor didn’t want it widely understood – and few did.

Even ALP campaign staff had difficulty explaining it and were in disbelief when it was properly explained to them via Liberal Party campaign literature.

A Labor staffer on Sydney’s northern beaches, who claimed to be a lawyer, became hostile after discovering the truth, labelling it propaganda.

“That can’t be right,” she claimed, “there’s no way Labor would do that!”

The same staffer went silent when one of her Green mates sidled up and suggested the explanation was, in fact, correct. 

EXPLAINED

Labor’s franking credit policy can be explained in five easy steps.

• People’s company share earnings are automatically taxed at the company tax rate of 30 per cent prior to being paid to them.
• People earning less than $18,200 a year in Australia are not required to pay any income tax.
• Labor planned to withhold all overpaid taxes on share earnings from people earning less than $18,200 a year.
• Labor also planned to retain most of the overpaid taxes on share earnings from people earning less than $37,000 a year.
• Anyone earning more than $37,000 received their full tax return, in line with the ATO’s published taxation brackets.

Liberal Finance Minister Mathias Cormann has accused Albanese of placing his franking credit policy on “life support”.

“Mr Albanese should rule out the plan altogether, as he hinted he’d do after the election. Instead, he has put the policy on life support,” Mr Cormann said.

The franking credit fiasco again shows-up Labor’s never-ending blather about fairness, which amounts to nothing when you dig into its discriminatory policy agenda.PC

IMAGE: Courtesy The Daily Mercury.

POLITICOM: Labor well rehearsed at fleecing Aussies

POLITICOM: Albanese channels Corbyn in quest for historic defeat