Highest earners almost completely supporting the bottom 60 per cent
New data has revealed the top 20 per cent of earners are propping up the majority of households.
The Centre for Independent Studies, in partnership with the ABS, has revealed the top fifth of households by income are doing the heavy lifting for the bottom 60 per cent.
The Centre puts the results down to a dwindling share of net taxpayers in the country.
Based on 2016 results, the top 20 per cent of households are paying over $1,000 a week into the tax system.
Conversely, households in the lowest quintile are getting an average of $619 back.
Senior research fellow at the Centre for Independent Studies Robert Carling joins Ross Greenwood to break down the details.
“It’s fair enough that, say, 20 per cent of the population of households… would be net beneficiaries, clearly.
“But once you get into the middle 20 per cent, would you expect them to be net beneficiaries also?
“On average, they are.”
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