Pauline Hanson’s February 2017 announcement that One Nation will again campaign for a flat-rate 2 per cent turnover tax takes her back to a policy position she first adopted nearly two decades ago.Initial analysis suggests that a shift from the current taxation mix to a 2 per cent turn over tax as proposed by Senator Hanson would produce a catastrophic reduction in government revenue of some $232 billion or 13.3 per cent of GDP.

The consequence would be massive cuts in government spending which would have to include health, pensions and most other categories of expenditure.A turnover tax is likely to hit lower income groups much more than higher income groups. Australia’s “battlers” would feel the brunt of One Nation’s tax policies most heavily.