Treasury data also shows a $25bn collapse in forecasted tobacco tax revenue due to successive tax hikes.
In 2023, Treasury told Jim what he wanted to hear – that it would generate more revenue if he hiked it again – and this has led disastrous consequences.
As John Kehoe puts it:
“The government has inadvertently underwritten a crime wave and is now trying to plug the revenue hole by increasing taxes on capital income.
This is a wealth transfer from law-abiding investors to organised crime by government edict.”