Utilities for costing and evaluating Australian tax policy, including high-performance tax and transfer calculators, a fast method of projecting tax collections from ATO sample files, and an interface to common indices from the Australian Bureau of Statistics. Written to support Grattan Institute’s Australian Perspectives program.
install.packages("grattan")
library(grattan)
income_tax
Calculates the income tax for a given taxable income and financial year:
income_tax(50e3, "2015-16")
## [1] 8547
income_tax
is designed to work well with the ATO’s sample files. You
can obtain the sample files from my repo:
# install.packages("taxstats", repos = "https://hughparsonage.github.io/tax-drat")
library(taxstats)
library(hutils)
library(data.table)
library(magrittr)
library(ggplot2)
Simply pass the sample file to .dots.ATO
and the complexities of
things like Medicare levy and the Seniors and Pensioners Tax Offset are
handled for you. For example:
s1314 <- as.data.table(sample_file_1314)
s1314 %>%
.[, tax := income_tax(Taxable_Income, "2013-14", .dots.ATO = s1314)] %>%
.[, .(Taxable_Income, tax)]
## Taxable_Income tax
## 1: 4800 0.000
## 2: 126122 36503.970
## 3: 39742 4655.410
## 4: 108123 29574.355
## 5: 85957 21040.445
## ---
## 258770: 24462 1111.710
## 258771: 37055 3701.525
## 258772: 45024 6530.520
## 258773: 5134 0.000
## 258774: 46368 7007.640
model_income_tax
: modelling changes to personal income taxWhile income_tax
is designed to inflexibly return the tax payable as
legislated, model_income_tax
is designed to calculate income tax when
changes are made. For example,
s1314 %>%
# reduce top threshold from 180,000 to 150,000
model_income_tax(ordinary_tax_thresholds = c(0, 18200, 37000, 80000,
150e3),
baseline_fy = "2013-14") %>%
.[, .(Taxable_Income, baseline_tax, new_tax)]
## Taxable_Income baseline_tax new_tax
## 1: 4800 0.000 0.000
## 2: 126122 36503.970 36503.970
## 3: 39742 4655.410 4655.410
## 4: 108123 29574.355 29574.355
## 5: 85957 21040.445 21040.445
## ---
## 258770: 24462 1111.710 1111.710
## 258771: 37055 3701.525 3701.525
## 258772: 45024 6530.520 6530.520
## 258773: 5134 0.000 0.000
## 258774: 46368 7007.640 7007.640
project
Given a sample file, we can project forward a number of years
s1617 <- project(s1314, h = 3L)
or to a particular financial year
s1718 <- project_to(s1314, "2017-18")
Together with model_income_tax
, this allows us to make
point-predictions of future years. The function revenue_foregone
prettily prints the resultant revenue:
sample_file_1314 %>%
project_to("2018-19") %>%
model_income_tax(baseline_fy = "2017-18",
ordinary_tax_thresholds = c(0, 18200, 37000, 87000,
150e3)) %>%
revenue_foregone
## [1] "$1.7 billion"
compare_avg_tax_rates
:Create comparison of average tax rates:
lapply(list("30k" = 30e3,
"36k" = 36e3,
"42k" = 42e3),
function(T2) {
model_income_tax(s1718,
baseline_fy = "2017-18",
ordinary_tax_thresholds = c(0,
18200,
T2,
87000,
180e3))
}) %>%
rbindlist(idcol = "id",
use.names = TRUE,
fill = TRUE) %>%
compare_avg_tax_rates(baseDT = .[id %ein% "36k"]) %>%
ggplot(aes(x = Taxable_Income_percentile,
y = delta_avgTaxRate,
color = id,
group = id)) +
geom_hline(yintercept = 0) +
geom_line()
## Warning: Removed 6 row(s) containing missing values (geom_path).
_inflator
functions have been moved to grattanInflator, breaking
(for example) cpi_inflator_general_date
which are now
cpi_inflator
.income_tax
no longer accepts family_status
, n_dependants
,
allow.forecasts
and .debug
model_income_tax
Arguments prefixed Budget_
and lito_
are
deprecated and now offsets = set_offsets
are preferred. However,
using System
with income_tax
is likely to be just as convenient.
lito
and lmito
no longer accept varying parameters, but lmito
is now exported
sapto_rcpp
, income_tax_sapto
, new_income_tax
,
new_medicare_levy
, and new_sapto
have now been removed. Use
System
.
The transfer functions have been removed as they became unreliable /
difficult to maintain. See repository
hughparsonage/grattanTransfers
for possible future development
age_pension
carer_payment
child_care_subsidy
energy_supplement
family_tax_benefit
model_child_care_subsidy
model_rent_assistance
newstart_allowance
pension_supplement
rent_assistance
student_repayment
unemployment_benefit
youth_allowance
youth_unemployment
The grattan v2
package will be more focused on income tax with
other elements being spun off into other packages. In particular,
_inflator
functions and related forecasting methods, functions
essentially accessing ABS data, and functions relating to tranfers
will be put in other packages, and imported later. Functions that
are made available in the grattan
NAMESPACE may have changes to
their API when this happens.
income_tax
now uses System
to define the tax systemmodel_income_tax
does not throw an error for incorrect
specification of lito_
arguments (which are deprecated)age_grouper
now works with long vectors containing missing valuesrent_assistance()
example no longer works because of outdated
data.income_tax
and medicare_levy
no longer accept family_status
as
an input, since it was giving misleading results. Use .dots.ATO
with appropriate variables to define the spouse’s income or the
number of children.income_tax
gives a slightly different error message when an
invalid financial year is passed. Previously “not in correct form”,
now “not a valid financial year”.useABSConnection = TRUE
is no longer supported because of ABS
server issuesproject
project
now has r_super_balance
to project super balances by a
user-supplied factor, rather than a hard-coded 1.05.package:rsdmx
is now Suggested, since a dependency has been
orphaned.grattan
’s tax modelling functions now work with the 2016-17 ATO
sample filegrattan
now depends on R 3.5.0 due to serialization format version
3 becoming the default in R 3.6.0.cpi_inflator
fails more gracefully when the ABS’s website is not
availableincome_tax
now gives consistent results modulo the existence of
completely empty columns that are inputs for sapto
(#158)income_tax
will work if .dots.ATO
is a non-data.table
data.frame.model_income_tax
:sapto_rcpp
is now more careful about passing length-one
vectors to vectorized C++ functions.project
now correctly prioritizes excl_vars
over variables with
otherwise predefined uprating mechanisms (such as Sw_amt
).awote
for weekly earningsage_grouper
can now have a custom first label prefix, and is much
faster when length(age)
is large.income_tax
now emits a warning when both age and .dots.ATO
are
provided, indicating that age
will be ignored.mutate_ntile
and weighted_ntile
now use the hutils
equivalents. This broke 3 unit tests because of the specific
phrasing of some error messages.small_business_tax_offset()
is now always positive, fixing the
original misinterpretation of the legislation whereby negative
business income resulted in a negative offset.*_inflator
functions now return correct results for non-standard
but supported financial years.inflator
no longer fails when to_fy
is length > 1 and
unordered.mutate_ntile
and mutate_weighted_ntile
for adding quantile
columnsage_pension
,carer_payment
carers_allowance
energy_supplement
family_tax_benefit
newstart_allowance
pension_supplement
rent_assistance
the Commonwealth Rent Assistancemodel_rent_assistance
as experimental function for modelling
changes to rent assistance.youth_allowance()
now available, though limitedcompare_avg_tax_rates
: create a difference in average tax rates
between multiple models and a baseline tax, by percentile.install_taxstats()
as a convenient means to install the non-CRAN
taxstats
dependency.prohibit_vector_recycling()
and friends return more informative
error messages.income_tax
, income_tax_sapto
: the default value for fy.year
is the current financial yearcpi_inflator
, lf_inflator_fy
, wage_inflator
: if both
from_fy and to_fy are missing, the default values become the
previous and current financial years respectively. If only one
of the two are missing, an error appears.income_tax
is about twice as fast since 1.6.0.0: 1.5-2.0s down
from 3.0-3.7s on the 100% population (13 million)inflator
and cpi_inflator
, lf_inflator_fy
, and wage_inflator
are now much faster when either from_fy
or to_fy
have more than
100,000 elements:set.seed(19952010)
from_fys <- sample(yr2fy(1995:2010), size = 1e6, replace = TRUE)
microbenchmark(cpi_inflator(from_fy = from_fys, to_fy = "2015-16"))
# Old
Unit: seconds
expr min lq mean median uq
cpi_inflator(from_fy = from_fys, to_fy = "2015-16") 1.519483 1.54438 1.550628 1.549735 1.554507
max neval
1.661502 100
# New
Unit: milliseconds
expr min lq mean median uq
cpi_inflator(from_fy = from_fys, to_fy = "2015-16") 40.71753 41.94061 47.93162 42.93946 48.08461
max neval
191.3497 100
yr2fy(x)
no longer works for x = 1900L, despite a unit test, for
the sake of performance. #> Last change: NAMESPACE at 2018-08-19 14:47:14 (4 mins ago).
#> Unit: milliseconds
#> expr min lq mean median uq max neval cld
#> yr2fy(z) 75 88 98 90 101 161 100 a
#> .yr2fy(z) 274 286 298 297 302 359 100 b
Use yr2fy(x, assume1901_2100 = FALSE)
if you need the old behaviour.
taxstats1516
is now a suggested dependency.model_income_tax()
no longer coerces WEIGHT
to integer.lito_multi
Permits multiple pieces to the linear offset.Budget2018_lamington
The Low And Middle Income Tax Offset
proposed in the Budget 2018 budget.Budget2018_lito_202223
The proposed change to LITO from
2022-23.Budget2018_watr
The offset proposed by the Opposition the
Budget Reply.sbto_discount
Allows modification of the small business
tax offset.clear_tax_cols
By default, old tax columns are deleted.warn_upper_thresholds
If changed to FALSE
allows the
automatic changes to be applied without warning.progressivity()
for Gini-based measure of the progressivity of
income taxrevenue_foregone()
as a convenenience for returning the
revenue foregone from a modelled sample file.model_income_tax
which attempts to provide every
lever of the income tax system that is visible from the tax office’s
sample files. Users can model the sample file by changing single
parameters to observe the effect on tax collections.small_business_tax_offset
: Include the small business tax offset
as a standalone function and within income_tax
.project
and project_to
no longer require
fy.year.of.sample.file
. However, they expect the supplied
data.frame
to be compatible with the sample file provided.
Failling to provide a sample file with the expected number of rows
or not providing a sample file with a valid number of rows is a
warning, which can be silenced by check_fy_sample_file = FALSE
.mgcv
was used but not declared in Suggests: Thanks to BDR for
reporting.prohibit_vector_recycling
to return the maximum
permissible length of a list of vectors.lf_trend
internal data table used to report the
labour force in thousands of persons, as the ABS does. This seemed a
bit strange, so now obsValue
uses integers (i.e. just the labour
force).taxstats
to a temporary directory if not
already installed, rather than the user or system’s library.income_tax
, and related functionsage
in income_tax
now NULL
rather than
42
.
The default argument continues to result in SAPTO being not applied
if .dots.ATO
. However, if .dots.ATO
is supplied (and the age
variable has not been removed from it), the individuals’ SAPTO
eligibility is determined by the age variable in .dots.ATO
, rather
than setting each individual’s SAPTO to 0.NEWS.md
file to track changes to the package.This is a package update
0 ERRORS \| 0 WARNINGS \| 1-2 NOTEs
NOTES:
Notes for taxstats are routine
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