Debates about debt and deficits overlook a central issue – large amounts of “spending” are hidden in tax concessions, subsidies and underpriced public resources.

The Coalition and business lobbyists are quite right to say that the Federal Government must rein in spending and reduce debt. And they were doing it again in the past week.

Australian debt has blown out, and the interest payments mean that there is less money to spend on health, education, and the like.

But the real issue is how do you define ‘government spending’. Similarly, the Coalition and business lobbyists are dead against increased taxes. But, again, the issue is what do you define as ’tax’?

Business and the Coalition would line up welfare payments, the arts, government environment projects and the like, and cut the lot. And they would say that any attempt to rein in tax concessions would be increasing taxes. They would say that any attempt to charge a reasonable price for the right to extract resources in the ground would be a “tax” or an “extra tax”.

Last week, the Business Council of Australia put out a statement rejecting proposals “to increase the tax burden on the gas sector”, saying it “would reduce investment and supply, and push up energy costs” and “undermine energy security”.

In fact, charging companies a price for the right to extract the gas resources under the ground which are owned by the Australian people is not a tax at all, nor is it a “burden”. The exploitation of those resources should........

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