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Is tax policy contributing to wealth inequality?

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Australian Labor Party MP Mike Freelander has called on the Albanese government to display courage in advocating for challenging tax reforms. 

He voiced concerns that Australia could become more Americanized and less successful if current tax policies persist, as reported in the Australian Financial Review.

Freelander’s comments came after the release of a report by the St Vincent de Paul Society recommending the removal of stage three tax cuts.

Freelander acknowledged that he personally benefited from the existing taxation system but emphasised that his children are now paying the price.

He stressed the need for measured actions that would enable younger generations to enjoy a similar quality of life. 

Progressive reforms

The report, authored by economists from the Australian National University, proposed several reforms, including a moderate increase in capital gains tax, a progressive superannuation taxation system based on income, and a raise in the tax-free threshold from $18,200 to $24,000.

These changes were put forth as a means to lift over 830,000 Australians out of poverty, primarily through increased welfare support for low-income households, single parents, and individuals with disabilities.

Freelander refrained from specifying which aspects of the report he supported, as he feared political weaponization.

Freelander believed that initiating discussions on these reforms now and gradually garnering support for necessary changes was essential. He emphasised that Australia’s egalitarian values should not be compromised by growing wealth inequality. If left unchecked, the country could transform into a more Americanized and less successful society.

While Freelander spoke out on this issue, other politicians, including Labor MP Alicia Payne and several present during the report’s launch, chose not to comment on the recommendations.

The Intergenerational Report from the previous month had highlighted that, under current settings, workers would face an increasing share of the tax burden over the next four decades.

St Vincent de Paul’s national president, Mark Gaetani, responded to Treasurer Jim Chalmers’ call for a tax system debate, emphasising the society’s commitment to engaging in this important conversation.

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Delta flight crash in Toronto, eight injuries reported

Delta flight crashes at Toronto airport, injuring eight; all passengers and crew accounted for, one in critical condition.

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Delta flight crashes at Toronto airport, injuring eight – all passengers and crew accounted for, one in critical condition.

In Short

A Delta flight crashed at Toronto Pearson International Airport, leaving eight people injured, with one in critical condition. All passengers and crew have been accounted for.

The incident occurred on Monday as the plane arrived at the airport.

Images show the aircraft upside-down on the snow.

The flight had originated from Minneapolis.

Peel Regional Police report that eight people were injured in the crash.

One person is listed as critical with non-life-threatening injuries, while seven others have moderate to mild injuries.

Authorities stated that all passengers and crew members have been accounted for.

The flight had originated from Minneapolis.

Further details are not currently available.

This is an ongoing story, and updates will be provided as more information comes in.

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Trump State Department angers China by removing Taiwan phrase

China criticises Trump officials for removing U.S. statement opposing Taiwan independence, calling it a detrimental signal to independence advocates.

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China criticises Trump officials for removing U.S. statement opposing Taiwan independence, calling it a detrimental signal to independence advocates.

In Short

The Trump State Department removed a key phrase about Taiwan relations from its website, causing outrage in China. Despite this, a spokesperson reaffirmed the U.S. position on Taiwan remains unchanged and underscored the commitment to peace in the region.

Previously, the State Department’s fact sheet stated that the U.S. did not support Taiwan’s independence.

This phrase was deleted last week, prompting Chinese officials to demand an immediate correction, asserting it sends the wrong signal to pro-independence forces in Taiwan.

In response, a State Department spokesperson clarified that the U.S. stance on Taiwan remains unchanged.

The U.S. is dedicated to maintaining peace and stability in the Taiwan Strait and opposes any unilateral changes to the status quo from either side.

The spokesperson also emphasised support for cross-Strait dialogue, with an expectation that differences should be resolved peacefully.

Chinese President Xi Jinping – Reuters

Sole government

The relationship between the U.S. and Taiwan has long been complex, as the U.S. adheres to the “One China” policy. This policy acknowledges Beijing as the sole government of China while not explicitly affirming its claim to Taiwan.

Due to this understanding, the U.S. does not maintain formal diplomatic relations with Taiwan, which is reflected in the absence of a U.S. embassy on the island.

China’s response highlights the ongoing tensions over Taiwan’s status and the delicate nature of U.S.-China relations. Overall, the situation underscores the challenges that arise from differing perspectives on Taiwan’s future.

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Musk claims Social Security database lists improbable ages

Elon Musk claims millions listed as over 100 in Social Security database raises questions about potential fraud and inefficiencies.

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Elon Musk claims millions listed as over 100 in Social Security database raises questions about potential fraud and inefficiencies.

In Short

Elon Musk questions the accuracy of the Social Security database, alleging millions are wrongly recorded as over 100 years old. He highlights inconsistencies and suggests the system may be the largest fraud in history while Democrats protest outside the agency.

In a recent post on X, Musk highlighted that the database includes individuals with ages listed as high as 360. He shared a chart illustrating that over 20 million entries are for those aged 100 and above, despite the U.S. Census Bureau reporting just over 80,000 individuals in this age group based on the 2020 census.

Democratic lawmakers recently protested outside the Social Security Administration, expressing concerns over potential spending investigations involving DOGE. Musk’s comments on the age discrepancies have added to the controversy, as he jokingly suggested the existence of vampires collecting benefits.

Musk also noted significant inconsistencies in payment files between the Social Security Administration and the Treasury, characterising the system as chaotic and difficult to understand. He emphasised that there appear to be more eligible Social Security numbers than there are US citizens, calling it potentially the largest fraud in history.

These remarks come as President Donald Trump has appointed Musk to lead the Department of Government Efficiency, aimed at identifying waste and fraud within federal agencies.

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