‘Governments always win’: Chris Kenny calls for tax thresholds to be indexed

Sky News host Chris Kenny has called for the government to index the tax thresholds every year just as they index the alcohol and petrol tax takes. Alcohol drinkers are set to pay more with the excise to increase by almost two per cent on Monday. Drinkers will now pay $101.85 in tax per litre of pure alcohol. While this happens, Mr Kenny explained how the government will reap a high proportion of people’s revenue as they are pushed through higher tax thresholds through bracket creep. “It hurts you and helps the government and those tax thresholds don’t go up automatically, they are not indexed, they stay the same under law no matter what happens to inflation,” he said. “So in this case, the lack of indexation boosts the government's coffers because our wages are pushed above static thresholds. See, how they win every way?”