Login
iscover
A Victorian accounting firm has called for a "totally cashless" Australian economy in a submission to the federal government's tax discussion paper.
Newsletter
Victorian firm calls for cashless economy
25 June 2015
•
3 minute read
In the submission, Mansfield Accounting & Taxation suggested a cashless economy would assist the Australian government in achieving a fairer tax system for all Australians.
You’re out of free articles for this month
To continue reading the rest of this article, please log in.
Create free account to get unlimited news articles and more!
According to the firm, the benefits of such an economy are far-reaching.
The submission outlined several arguments for getting rid of 'physical' cash, such as:
• “The economy would benefit from an immediate stimulus as many citizens may prefer to spend their cash reserves rather than bank or invest them
• Going forward, all income will be taxable – including proceeds of crime and the cash economy, which will cease to exist
• Taxation will be much fairer as all income will be captured
• Wage and salary earners will applaud it as they are resentful of the cash economy
• The government will achieve savings in not having to print money
• It will stop tax cheats – for example, those on Centrelink benefits working for cash wages
• It will help reduce compliance costs in the tax system
• Business income would increase without the associated increase in business expenses, helping to spread the tax burden.”
The firm said to implement such a system, the government would need to allow sufficient time for citizens to bank, invest or otherwise dispose of any cash they hold, suggesting a window of six months would be appropriate.
You need to be a member to post comments. Become a member for free today!
