Senator HARRADINE (6:01 PM) —Of course I fully support now and have over the years the types of measures that you mentioned in regard to the police sergeant and his family at Burnie. What I am trying to point out to the committee is this: the government is adopting measures in this legislation which are contrary to the principles of taxation equity and contrary to the principles that are normally applied in respect of social security, because the means test in respect of social security is normally applied to the income of the recipient of the social security measures.

Senator Newman —Not for Austudy, though.

Senator HARRADINE —Oh, no. You might read my speech on that occasion, too. But in this particular case, we are talking about unemployed adults. The unemployed adults are going to have their income taxed when it reaches a certain level and the parents are going to have their income means tested. Can't you see that you are introducing here a further problem? It is a very real problem for lower and also middle income families. I repeat that, if you consider a family on $23,400 is on a good wicket, then you are not in the real world. Having said that, I would like to hear now your response to the question that was asked of you by Senator Margetts, to see in fact whether there is a loss or whether there is not. Of course there is, and it is effective at a very low income level.