Help The Poor: Employ An Mp
Sydney Morning Herald
Tuesday September 9, 1986
Recent tax law changes have forced some State MPs to take on extra work to make ends meet.
Others struggling to keep out of the red say their spouses have had to return to work or stay in jobs they would prefer to leave.
One Liberal MP said he had to take another position on a company board recently because of the new tax laws, and a number of his colleagues had been forced to take similar measures.
The extra work means he has to devote several hours a week to the company, including 7.30 am weekly board meetings, on top of his already busy schedule.
"I wouldn't have taken it on if it hadn't been for the impact of the fringe benefits tax on your allowances," he said.
"For instance, we recently had a dinner party for 25 people at our house after the Liberal Party State Conference that cost about $400. We can't claim that.
"Then there's things like taking the press to lunch, which I see as being very important because otherwise you don't get to know them. We can't claim that any more."
A Labor MP said his wife had had to return to work "to get a few of the things we've been hoping to get".
"I've still got a lounge suite that's 20 years old," he said.
The Liberal Member for Mosman, Mr Phillip Smiles, said it would be impossible for either him or his wife to give up their jobs.
Mr Smiles runs his own management and marketing consultancy.
"I can't afford to be the Member for Mosman unless I have an income over and above that of a backbench Member of Parliament," he said.
"Previously we had a tax-free allowance so we could use some of that money for paying our entertainment. Not any more.
"If I look at any one month I would anticipate at least one ball or dinner costing $80 to $100 for my wife and I, plus baby-sitting costs.
"I would be looking at two to three dinners where I would spend $20 to $50. You can't spend less than $10 on raffle tickets as an MP; you never leave a fete without spending $30 to $60 . . . because it's politically important to do so."
The base salary for back benchers is $42,129. Added to this is an electoral allowance which varies between $13,601 and $24,203.
PAGE 2: Plan to give politicians 'a spell in harness'.
© 1986 Sydney Morning Herald