Tepid response to parental leave tax

by Sally Hyslop

May 13, 2008

A PROPOSAL for an extra tax levy of 0.5 per cent to fund parental leave has been a hit with a current Productivity Commission inquiry, but people eMU News interviewed this week gave it a lukewarm response.

The new tax would be payable by all Australians, plus businesses would have to pay another 0.5 per cent of their payroll.

Yokine social worker Shannan Briscoe, who together with her partner of 12 years, Jason, has decided not to have children, vehemently opposed the tax.

“As someone who lists one of her reasons for not having children as not wanting to contribute to the overpopulation of the world, I see this tax as a huge slap in the face,” she said. “The entitlement factor of this just blows me away.

 “What makes people think that everyone would be happy about this? Five dollars a week means the difference between eating one day or not, even if you're on $50K a year.”

Darlington businessman Paul Poli also expressed concern that he would have to “...help pay for someone’s mortgage for their four bedroom, two bathroom, home cinema and games room mansion just because they decide to have a sprog.”

Mr Poli’s wife, Janet, said although she did not see why people had any responsibility to fund families who live beyond their means, she was concerned for the genuinely poor.

“I'm not super happy at yet another tax levy,” she said, “but it may be the only way to fund it.

“I do think the leave is necessary - too many mums and babies are missing out on vital learning and nurturing time.”

Mt Lawley geoscientist Wendy Gilchrist said she did not support the tax, and thought a HECS style system with interest free loans should be implemented instead for parental leave.

“There’s no way I’d expect taxpayers to pay my salary for six months,” she said. “It’s a personal choice to have children ... [but] I do think paid maternity leave should be compulsory.”

Carlisle-based public servant, Sarah Ovenden, said she would gladly pay the tax.

“Everyone should bear the burden because everyone enjoys the long-term benefits,” she said. “An increase in the population figures means that we have enough people to support an ageing population.

“The majority of our taxes don’t directly benefit the individual tax payer ... They’re spread around the nation. That is the point of tax.”