What happens if we make the GST tax switch?

What the video says

The GST tax switch is a proposal, not law. The e61 Institute has analysed it.

The idea: raise and broaden the GST, and cut income tax to compensate. e61 argues broadening the base is necessary.

In e61's example, a 20% income tax and a 25% GST cost the same over a lifetime. But if the switch happens at 65, lifetime tax rises over $93,000, or 22%.

e61 says it acts like a one-off tax on wealth: on average, a transfer from older to younger Australians. And because high earners save more, it can end up regressive.

e61's key caveat: the full effect depends on what comes with it, like income tax, transfer and corporate tax changes.

The voiceover, as written in the video’s script.