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Australia PM Morrison Vows to Cap Tax Revenue if Re-Elected

Australia PM Morrison Vows to Cap Tax Revenue if Re-Elected

Australia’s Prime Minister Scott Morrison vowed to limit the nation’s tax income should his party win re-election next month. 

Morrison’s government would cap government taxation revenue at 23.9% of gross domestic product, according to an emailed statement. The government would also give workers A$100 billion ($72 billion) in tax relief over the next four years if re-elected, it said. 

The pledges come as Morrison faces a difficult re-election campaign at a time with voters facing increased cost pressures from fuel to food. Australians are due to vote in a national election on May 21, with the government campaigning for a fourth term in power on its economic credentials. 

Australia’s total taxation receipts as a percentage of GDP was 22.9% in fiscal 2021, according to the nation’s budget documents. The level isn’t expected to rise over the next five years, the documents show. 

©2022 Bloomberg L.P.