Proceedings of 32nd International Business Research Conference
23 - 25 November 2015, Rendezvous Hotel, Melbourne, Australia
ISBN: 978-1-922069-89-4
The Economic Impact of the Superannuation Tax Concessions
on the Ability to Pay Principle
Gabrielle Parle1
This article seeks to present an in-depth analysis of the superannuation tax
concessions in terms of Adam Smith’s ability to pay principle; and it
examines the concessions impact from the individual tax payer’s point of
view, within the Australian setting. The findings show that the tax
concessions exhibit behaviours that are akin to a discrete, unpriced risk
factor. The outcome is that the higher income earners receive a greater
benefit from the superannuation tax concessions than lower income
earners. This has important implications for taxation and superannuation
policy making.
JEL Codes: G18, H21 and G23
1
Dr. Gabrielle S. Parle,
Email : gparle@usc.edu.au
Faculty
of
Arts
and
Business,
University
of
the
Sunshine
Coast,
Australia.