Thursday 28 June 2007

No representation without taxation

An interesting little sidebar to the fuss erupting in the NT at the moment are calls for a new ATSIC to be setup.

I have no problem with that. However, it should be self funding, not funded out of general Federal govt revenue.

Here's how I see it working.

You can't vote in an ATSIC election unless you have paid your ATSIC tax. I'd throw it on as an extra levy, like the Medicare levy, that people can opt to pay at tax time by ticking a box. It's up to ATSIC to set the level of that levy, and it will depend on their funding needs. It could be 0.5% of income, 1%, 5% of 10% - it's up to the elected representatives of the first ATSIC government to set the tax rate.

Once they have their own revenue stream, they can spend it on whatever they like. Fast cars. Drugs. Extra police. Hospitals. Gulfstream jets. Whatever. If their taxpaying constituency doesn't like it, they can vote them out.

The problem with the old regime is that ATSIC got all its money from the government - ie, from all taxpayers. There was no need to spend it wisely as it was just more money from the white man. If it's money raised from the blackfella, they might take a bit more interest in spending it wisely.

This model is just like having a local council. Your council levies rates and other fees from the properties within its boundaries, and spends the money within its boundaries. ATSIC has different boundaries - ie, its voters can be anywhere, but they have to meet the main criteria of being willing to fund it. If no one wants to tick the box at tax time, there is no ATSIC mark II.

I don't mind 100% white people who feel the need to do good ticking that box as well, just so long as they understand they don't get a vote.

There is one other thing I'd do too. I'd go to the Aboriginal reserves, survey the land and parcel it out by ballot.

Let's say you've got 400 people in a community sitting on 4 million acres of land. You divide it into 10,000 acre blocks, number each block and get everyone to pull a number out of a hat. Once you have your number, you have freehold title to that block. It's yours. You can then do whatever you like with it.

But here's the rub. Once people have title, I'd levy land taxes on it, and that money could also go to ATSIC mark II. The taxes don't have to be high. I imagine most of the scrub is not worth much, so a levy of 10 cents an acre would only generate a tax bill of $1,000 a year. If you can't pay the bill, the same thing happens to you as happens to anyone else that can't pay their tax - the land is siezed and auctioned and you get any surplus after the tax has been paid.

Now some might decry this as unfair - how will poor people come up with the $1,000?

Easy - they can work for it. They can earn it. If they can't be buggered coughing up a measly $1,000 a year for their land, then they clearly don't care about it very much. If you really feel attached to your land, you'll move heaven and earth to earn the money to hang onto it. You'll move to the city to get a job if need be. If you care more about getting on the turps than you do about your land, then bugger you. People need to be told that - "bugger you". You stuff up, you bear the consequences.

I don't see why these communities need to continue to exist either. Let's say you get your 10,000 acres. You can then build a holiday house on it, move to the city and come back and visit when you feel like it. Think of it as a weekender, like a pad at Margaret River.

I doubt this will happen in my lifetime though.

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