Normally I try not to use that kind of language – in public – but it’s Australia, so I figure that it’s cool. Anyway, it’s DOOM time for liberal parties Down Under: “Australia’s conservative opposition swept to power Saturday, ending six years of Labor Party rule and winning over a disenchanted public by promising to end a hated tax on carbon emissions, boost a flagging economy and bring about political stability after years of Labor infighting. ” The ruling party made a bunch of mistakes, including passing a carbon tax (I personally wish that people would keep their religious views under control when it comes to setting political and scientific policy), but this didn’t help, either:
[Liberal* Party coalition leader Tony] Abbott has also promised to repeal a tax on coal and iron ore mining companies, which he blames in part for the downturn in the mining boom. The 30 percent tax on the profits of iron ore and coal miners was designed to cash in on burgeoning profits from a mineral boom fueled by Chinese industrial demand. But the boom was easing before the tax took effect. The tax was initially forecast to earn the government 3 billion Australian dollars ($2.7 billion) in its first year, but collected only AU$126 million after six months.
Actual tax revenue not matching expectations. Amazing how often that happens, huh?
PS: Quick digression to California: a recent rise in the sales tax rate has resulted in an “unexpected” decline in sales tax revenue. People bought less things that were taxed, and bought more things (mostly services). So, of course, the papers are calling for taxing services. Because I always want to hear from somebody in the newspaper industry when it comes to advice about operating anything at a profit, of course.
*A certain amount of irony there, not to mention being an admittedly entertaining ongoing irritation to the Australian Left.