Middle income earners probably won’t be paying as much tax as the government expects



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The PBO has likely overestimated future personal income tax revenue.
Shutterstock

Phil Lewis, University of Canberra

The federal government’s return to a budgetary surplus by 2020/21 will mainly be due to a projected increase in personal income tax revenue, according to a report from the Parliamentary Budget Office (PBO).

The PBO modelling shows that people in the middle of the income spectrum will bear the brunt of this, due to bracket creep. This occurs when tax thresholds (including the tax free threshold) stay constant while income grows due to inflation.

But the PBO modelling includes assumptions about inflation and wages growth that do not bear a resemblance to what is happening in the economy. Both inflation and wages growth have been depressed for some time, and there’s little reason to believe there will be a sudden increase.


Read more: How market forces and weakened institutions are keeping our wages low


The fundamental assumption driving the PBO projections is nominal (not adjusted for inflation) income growth of between 4% and 5%. This consistutes 2% to 2.5% annual inflation and 2.5% to 3% percent annual increase in real income.

The difference between nominal and real incomes is important as it is increases in real income (adjusted for inflation) that result in higher standards of living. But taxes are levied on our nominal incomes, regardless of inflation. Because of this difference, bracket creep means that real incomes after tax (otherwise known as disposable income) will actually fall.

What the PBO report projects

To calculate how much tax we will be paying in the future, the PBO first makes assumptions about inflation and real earnings growth and uses these to project individual incomes. Current income tax rates are then applied to these projected incomes, and the increased amount paid by each individual is added together.

According to the PBO’s modelling, the average individual tax rate will increase by 2.3% from 2017–18 to 2021–22. And every income group will see their tax rates increase over this period.

The largest tax increase is expected for individuals in the middle incomes, who have an average taxable of A$46,000 in 2017/18. This group are projected to face an increase in their average tax rate of 3.2% by 2021–22. Their average tax rate is expected to increase from 14.9% to 18.2%.

Meanwhile, those in the second lowest and two highest income quintiles are expected to see their average tax rate rise between 1.9% and 2.5%. The average tax rate for individuals in the lowest income group is projected to rise by only 0.2%, as most of their income remains below the tax free threshold.

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The increases in average tax rates are even greater if a comparison is made with 2016/17, the latest year for which individuals have been paying tax. As you can see in the previous chart, when compared to 2016/17, individuals in the middle income quintile will see their average tax rate rise by 3.8%.

As you can see, the largest burden of the tax brack creep will fall on “average Australians”. This is because they will see their nominal (before adjusting for inflation) incomes rise. Typically, the lowest income earners do not earn enough to get above the tax free threshold and the highest income earners already pay a large portion of their tax at the top marginal rates.

Because of increasing inflation and wage growth, the Parliamentary Budget Office projects that even the lowest income earners will be liable to pay income tax by 2019/20.

Heroic assumptions?

The 2% to 2.5% inflation assumed in PBO’s forecast is in the mid-point of the Reserve Bank’s target range of 2% to 3%, so this is not entirely unreasonable assumption.

But both PBO’s inflation and wage growth (2.5% to 3%) assumptions are currently way above the levels seen in the economy. According to the ABS annual inflation currently stands at just 1.8%, and the earnings of all Australian employees is growing at 1.6% per annum.

The reasons for persistent low inflation, not just in Australia but in most other industrialised countries, are not well understood or agreed upon.

And a number of theories have been put forward to explain low real wage growth including, the degree of underemployment, reduced job security, declining bargaining power of unions and increased potential competition, either from advances in technology or from international competition.

But regardless of the reasons for the persistently laggard growth in wages and inflation, there are also no signs that these rates will rise significantly any time soon, let alone to the levels assumed by the PBO.


Read more: Budget explainer: why is Australia’s wage growth so sluggish?


Given the information contained in the PBO report we can’t calculate exactly what the impact of these tax increases will be for individuals.

However, it is clear that if the current wage and price conditions persist the actual tax revenue will fall way short of the projected figures for all years up to and including 2021/22 and make a Budget balance even further off.

We can also make some extrapolations based on averages. As a simple example, consider someone on an annual income of A$84,000 in 2017/18 (which is around the current average earnings in Australia). Under the assumption that nominal incomes increase by only 2% per year, the tax paid (including Medicare levy) in 2020/21 would be A$23,158.

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However, if you compare this to nominal income growth of 5% (which is what the PBO assumes) the tax paid would be A$26,357 in 2020/21.

That is, tax collected from this individual would be 12% less under a low growth scenario than under the PBO’s more optimistic scenario. In the years 2018/19 and 2019/20 the tax collected would be respectively 4% and 8% less. This illustrates how precarious the projection of a balanced Budget in 2020/21 is.

The ConversationWhatever the outcome, it is for certain that income earners will see any nominal increases eroded not just by inflation, but also through bracket creep.

Phil Lewis, Professor of Economics, University of Canberra

This article was originally published on The Conversation. Read the original article.

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The costs of a casual job are now outweighing any pay benefits


Joshua Healy, University of Melbourne and Daniel Nicholson, University of Melbourne

Low wages growth has been a spectre hanging around the Australian economy for some time. In our series What We Earn we unpick the causes for this and why some workers might be feeling it more than others.


Workers aren’t being compensated as much as they should be for precarious work in casual positions.

One in four Australian employees today is a casual worker. Among younger workers (15-24 year olds) the numbers are higher still: more than half of them are casuals.

These jobs come without some of the benefits of permanent employment, such as paid annual holiday leave and sick leave. In exchange for giving up these entitlements, casual workers are supposed to receive a higher hourly rate of pay – known as a casual “loading”.

But the costs of casual work are now outweighing the benefits in wages.

Costs and benefits of casual work

Casual jobs offer flexibility, but also come with costs. For workers, apart from missing out on paid leave, there are other compromises: less predictable working hours and earnings, and the prospect of dismissal without notice. Uncertainty about their future employment can hinder casual workers in other ways, such as making family arrangements, getting a mortgage, and juggling education with work.

Not surprisingly, casual workers have lower expectations about keeping their current job. For example the Australian Bureau of Statistics (ABS) found 19% expect to leave their job within 12 months, compared to 7% of other workers. Casuals are also much less likely to get work-related training, which limits their opportunities for skills development.

The employers of casual workers also face higher costs. High staff turnover adds to recruitment costs. But perhaps the main cost is the “loading” that casual workers are supposed to be paid on top of their ordinary hourly wage.

Australia’s system of minimum wage awards specifies a casual loading of 25%. So, a casual worker paid under an award should get 25% more for each hour than another worker doing the same job on a permanent basis. In enterprise agreements, the casual loading varies by sector, but tends to be between 15 and 25%.

The practice of paying a casual loading developed for two reasons. One was to provide some compensation for workers missing out on paid leave. The other, quite different, motivation was to make casual employment more expensive and discourage excessive use of it. However this disincentive has not prevented the casual sector of the workforce from growing substantially.

Casual jobs aren’t much better paid

One approach in determining whether casual workers are paid more is simply to compare the hourly wages of casual and “non-casual” (permanent and fixed-term) employees in the same occupations. This can be done using data from the 2016 ABS Survey of Employee Earnings and Hours.

We compared median hourly wages for adult non-managerial employees, based on their ordinary earnings and hours of work (i.e. excluding overtime payments). If the median wage for casuals is higher than for non-casuals, there is a casual premium. If the median casual wage is lower, there is a penalty.

The 10 occupations below accounted for over half of all adult casual workers in 2016. In most of these occupations, there is a modest casual wage premium – in the order of 4-5%.

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The size of the typical casual wage premium is much smaller, in most cases, than the loadings written into awards and agreements. Only one occupation (school teachers) has a premium (22%) in line with what might be expected.

Three of the 10 largest casual occupations actually penalise this sort of work. And overall for these 10 occupations there is a casual wage penalty of 5%. This method of analysis suggests that few casual workers enjoy substantially higher wages as a trade-off for paid leave.

Taking a closer look involves controlling for a wider range of differences between casual and non-casual workers. One major Australian study in 2005 compared wages after taking account of many factors other than occupation, including age, education, job location, and employer size.

All else equal, it found that part-time, casual workers do receive an hourly wage premium over full-time, permanent workers. The premium is worth around 10%, on average, for men and between 4 and 7% for women.

These results imply that most casual workers (who are in part-time positions) can expect to receive higher hourly wages than comparable employees in full-time, permanent positions. However, the value of the benefit is again found to be less than would be expected, given the larger casual loadings mentioned in awards and agreements.

It seems that while there is some short-term financial benefit to being a casual worker, this advantage is worth less in practice than on paper.

A recent study, using 14 years of data from the Household, Income and Labour Dynamics in Australia Survey (HILDA), finds no evidence of any long-term pay benefit for casual workers.

The study’s authors estimate that, among men, there is an average casual wage penalty of 10% – the opposite of what we should see if casual loadings fully offset the foregone leave and insecurity of casual jobs. Among female casual workers, there is also a wage penalty, but this is smaller, at around 4%.

This study also finds that the size of the negative casual wage effect tends to reduce over time for individual workers, bringing them closer to equality with permanent workers. But very few casual workers out-earn permanent workers in the long-term.

Inferior jobs, but fewer alternatives

The evidence on hourly wage differences leads us to conclude that casual workers are not being adequately compensated for the lack of paid leave, or for other forms of insecurity they face. This makes casual jobs a less appealing option for workers.

This does not mean that all casual workers dislike their jobs – indeed, many are satisfied. But a clear-eyed look at what these jobs pay suggests their benefits are skewed in favour of employers.

Despite this, the choice for many workers – especially young jobseekers – is increasingly between a casual job or no job at all. Half of employed 15-24 year olds are in casual jobs.

The ConversationIn a labour market characterised by high underemployment and intensifying job competition, young people with little or no work experience are understandably willing to make some sacrifices to get a start in the workforce. The option of “holding out” for a permanent job looks increasingly risky as these opportunities dwindle.

Joshua Healy, Senior Research Fellow, Centre for Workplace Leadership, University of Melbourne and Daniel Nicholson, Research Assistant, Industrial Relations, University of Melbourne

This article was originally published on The Conversation. Read the original article.

Australian Politics: 11 July 2013


Labelled a stunt by many and ignored by Tony Abbott, a proposed political debate between Kevin Rudd and Tony Abbott didn’t happen at the National Press Club today. The debate was proposed by Kevin Rudd, but Tony Abbott wanted nothing to do with it. So instead of a debate, Kevin Rudd delivered an address on the economy. The link below is to an article that reports on the address.

For more visit:
http://www.guardian.co.uk/world/2013/jul/11/kevin-rudd-seven-point-plan


Meanwhile, in Queensland the great politicians pay rise debate has continued with the premier now taking ‘action.’


Then of course there was more Kevin Rudd bashing by all and sundry. This time over a Twitter photo. My take – what’s wrong with Kevin Rudd being human and normal. I think the whiners need to take a long cold shower.

Australia: Queensland – Government Seeks to Block Pay Rise for Public Servants


They aren’t bad this lot. The Queensland government has just awarded themselves a $57 000 pay rise and are now seeking to block a pay rise for public servants. I probably shouldn’t express what I think of this Queensland government in public. The link below is to an article that reports on the public outrage in Queensland.

For more visit:
http://www.couriermail.com.au/news/queensland/newman-government-heads-to-supreme-court-in-bid-to-block-pay-rise-for-public-servants/story-fnihsrf2-1226675622419

USA: Georgia – Atlanta


The Not So Clever Bank Robber is Captured

The following article reports on the try hard bank robber in the USA who tried to rob a bank and failed. He returned shortly afterwards to withdraw money to pay the cab fare (his getaway car) and was arrested.

For more, visit:
http://www.neatorama.com/2012/02/29/bank-robber-gets-caught-when-he-goes-back-inside-the-bank-to-withdraw-money-for-cab-fare/

Christian Woman Freed from Muslim Kidnappers in Pakistan


Captors tried to force mother of seven to convert to Islam.

LAHORE, Pakistan, March 11 (CDN) — A Christian mother of seven here who last August was kidnapped, raped, sold into marriage and threatened with death if she did not convert to Islam was freed this week.

After she refused to convert and accept the marriage, human traffickers had threatened to kill Shaheen Bibi, 40, and throw her body into the Sindh River if her father, Manna Masih, did not pay a ransom of 100,000 rupees (US$1,170) by Saturday (March 5), the released woman told Compass.   

Drugged into unconsciousness, Shaheen Bibi said that when she awoke in Sadiqabad, her captors told her she had been sold and given in marriage.

“I asked them who they were,” she said. “They said that they were Muslims, to which I told them that I was a married Christian woman with seven children, so it was impossible for me to marry someone, especially a Muslim.”

Giving her a prayer rug (musalla), her captors – Ahmed Baksh, Muhammad Amin and Jaam Ijaz – tried to force her to convert to Islam and told her to recite a Muslim prayer, she said.

“I took the musalla but prayed to Jesus Christ for help,” she said. “They realized that I should be returned to my family.”

A member of St. Joseph Catholic Church in Lahore, Shaheen Bibi said she was kidnapped in August 2010 after she met a woman named Parveen on a bus on her way to work. She said Parveen learned where she worked and later showed up there in a car with two men identified as Muhammad Zulfiqar and Shah. They offered her a job at double her salary and took her to nearby Thokar Niaz Baig.

There she was given tea with some drug in it, and she began to fall unconscious as the two men raped her, she said. Shaheen Bibi was unconscious when they put her in a vehicle, and they gave her sedation injections whenever she regained her senses, she said.

When she awoke in Sadiqabad, Baksh, Amin and Ijaz informed her that she had been sold into marriage with Baksh. They showed her legal documents in which she was given a Muslim name, Sughran Bibi daughter of Siddiq Ali. After Baksh had twice raped her, she said, his mother interjected that she was a “persistent Christian” and that therefore he should stay away from her.

Shaheen Bibi, separated from an abusive husband who had left her for another woman, said that after Baksh’s mother intervened, her captors stopped hurting her but kept her in chains.

 

Release

Her father, Masih, asked police to take action, but they did nothing as her captors had taken her to a remote area between the cities of Rahim Yar Khan and Sadiqabad, considered a “no-go” area ruled by dangerous criminals.

Masih then sought legal assistance from the Community Development Initiative (CDI), a human rights affiliate of the European Center for Law & Justice. With the kidnappers giving Saturday (March 5) as a deadline for payment of the ransom, CDI attorneys brought the issue to the notice of high police officials in Lahore and on March 4 obtained urgent legal orders from Model Town Superintendent of Police Haidar Ashraf to recover Shaheen, according to a CDI source.

The order ultimately went to Assistant Sub-Inspector (ASI) Asghar Jutt of the Nashtar police station. Police accompanied by a CDI field officer raided the home of a contact person for the captors in Lahore, Naheed Bibi, the CDI source said, and officers arrested her in Awami Colony, Lahore.

With Naheed Bibi along, CDI Field Officer Haroon Tazeem and Masih accompanied five policemen, including ASI Jutt, on March 5 to Khan Baila, near Rahim Yar Khan – a journey of 370 miles, arriving that evening. Area police were not willing to cooperate and accompany them, telling them that Khan Baila was a “no-go area” they did not enter even during daytime, much less at night.

Jutt told area police that he had orders from high officials to recover Shaheen Bib, and that he and Tazeem would lead the raid, the CDI source said. With Nashtar police also daring them to help, five local policemen decided to go with them for the operation, he said.

At midnight on Sunday (March 6), after some encounters and raids in a jungle area where houses are miles apart, the rescue team managed to get hold of Shaheen Bibi, the CDI source said. The captors handed over Shaheen Bibi on the condition that they would not be the targets of further legal action, the CDI source said.

Sensing that their foray into the danger zone had gone on long enough, Tazeem and Jutt decided to leave but told them that those who had sold Shaheen Bib in Lahore would be brought to justice.

Fatigued and fragile when she arrived in Lahore on Monday (March 7), Shaheen Bibi told CDN through her attorneys that she would pursue legal action against those who sold her fraudulently into slavery and humiliation.

She said that she had been chained to a tree outside a house, where she prayed continually that God would help her out of the seemingly impossible situation. After the kidnappers gave her father the March 5 deadline last week, Shaheen Bibi said, at one point she lifted her eyes in prayer, saw a cross in the sky and was comforted that God’s mighty hand would release her even though her father had no money to pay ransom.

On four previous occasions, she said, her captors had decided to kill her and had changed their mind.

Shaheen Bibi said there were about 10 other women in captivity with her, some whose hands or legs were broken because they had refused to be forcibly given in marriage. Among the women was one from Bangladesh who had abandoned hope of ever returning home as she had reached her 60s in captivity.

Masih told CDN that he had prayed that God would send help, as he had no money to pay the ransom. The day before the deadline for paying the ransom, he said, he had 100 rupees (less than US$2) in his pocket.

Report from Compass Direct News

Anti-Christian Sentiment Heats Up


Terrorist threat in Iraq emerges at importune moment for Copts.

CAIRO, Egypt, November 22 (CDN) — As bombings and other attacks continue against Christians in Iraq, Christians in Egypt have gathered to pray and plan for their own safety.

When a group of Islamic extremists on Oct. 31 burst into Our Lady of Salvation church in Baghdad during evening mass and began spraying the sanctuary with gunfire, the militant organization that took responsibility said Christians in Egypt also would be targeted if its demands were not met. Taking more than 100 congregants hostage, the Islamic State of Iraq (ISI) called a television station and stated that the assault came in response to the Coptic Orthodox Church in Egypt allegedly holding two Coptic women against their will who, the ISI and some others believe, converted to Islam.

The group issued a 48-hour deadline for the release of the women, and when the deadline passed it issued a statement that, “All Christian centers, organizations and institutions, leaders and followers are legitimate targets for the muhajedeen [Muslim fighters] wherever they can reach them.” The statement later added ominously, “We will open upon them the doors of destruction and rivers of blood.”

In the attack and rescue attempt that followed, 58 people were reportedly killed. A week and a half later, Islamic extremists killed four people in a series of coordinated attacks against Christians in Baghdad and its surrounding suburbs. The attackers launched mortar rounds and planted makeshift bombs outside Christian homes and one church. At least one attack was made against the family members of one of the victims of the original attack.

On Nov. 15, gunmen entered two Christian homes in Mosul and killed two men in the house. The next day, a Christian and his 6-year-old daughter were killed in a car bombing. At the same time, another bomb exploded outside the home of a Christian, damaging the house but leaving the residents uninjured, according to CNN.

The threats against Christians caused a flurry of activity at churches in Egypt. A 35-year-old Protestant who declined to give her name said Christians in Cairo have unified in prayer meetings about the threats. An SMS text message was sent out through prayer networks asking people to meet, she said.

“I know people are praying now,” she said. “We have times for our people to pray, so all of us are praying.”

Security has increased at churches throughout Egypt. In Cairo, where the presence of white-uniformed security police is ubiquitous, the number of uniformed and plain-clothes officers has doubled at churches. High-ranking police officers shuffle from one house of worship to another monitoring subordinates and enforcing new security rules. At times, parking on the same side of the street as a church building, or even driving by one, has been forbidden.

On Nov. 8, leaders from the Anglican, Catholic and Orthodox churches gathered to discuss how to improve security at churches. According to the leaders of several churches, the government asked pastors to cancel unessential large-scale public meetings. Pope Shenouda III canceled a celebration to commemorate the 39th anniversary of his installment as the leader of the Coptic Orthodox Church. Guests at a recent outdoor Christmas bazaar and a subsequent festival at the All-Saints Cathedral in Zamalek
were greeted with pat-downs, metal detectors and bomb-sniffing dogs.

Some church leaders, speaking on condition of anonymity, said the security improvements are haphazard, while others say they are genuine efforts to ensure the safety of Christians.

Most Christians in Cairo avoided answering any questions about the attacks in Iraq or the threats made against Christians in Egypt. But Deliah el-Sowkary, a Coptic Orthodox woman in her 20s, said she hoped no attacks would happen in her country. Noting the security present at all churches, still she said she is not that worried.

“I think it’s different in Egypt than in Baghdad, it’s more safe here,” El-Sowkary said.

Almost a week after the bombings, Egyptian President Hosni Mubarak issued a statement through the state-run MENA news agency that the Copts would be protected from attacks.

“The president affirmed his extensive solicitude for the protection of the nation’s sons, Muslims and Copts, from the forces of terrorism and extremism,” the agency stated.

 

Pressure Cooker

The security concerns came against a backdrop of heightened tensions between the Muslim majority and the Coptic Christian minority over the past few months, with weeks of protests against Christians in general and against Shenouda specifically. The protests, held mostly in Alexandria, ended two weeks ago.

The tension started after the wife of a Coptic priest, Camilia Zakher, disappeared in July. According to government sources and published media reports, Zakher left her home after a heated argument with her husband. But Coptic protestors, who started gathering to protest at churches after Zakher disappeared, claimed she had been kidnapped and forced to convert to Islam.

Soon after, Egypt’s State Security Intelligence (SSI) officers found her at the home of a friend. Despite stating she had left of her own free will, authorities brought Zakher back to her husband. Since then, Zakher has been in seclusion. It is unclear where she is or if she remains there of her own free will.

Unconfirmed rumors began spreading that Zakher had converted to Islam and was being held against her will to force her to return to Christianity. Protests outside mosques after Friday prayers became weekly events. Protestors produced a photo of unknown origin of a woman in Islamic covering whom they claimed was Zakher. In response, Coptic authorities released a video in which the priest’s wife stated that she wasn’t a Muslim nor ever had been.

Another rumor began circulating that Zakher went to Al-Azhar University, one of the primary centers of Islamic learning in the world, to convert to Islam. But Al-Azhar, located in Cairo, released a statement that no such thing ever happened.

No independent media interviews of Zakher have taken place because, according to the Coptic Church, the SSI has ordered church officials not to allow public access to her. Along with their accusations about Zakher, protestors also claimed, without evidence, that a similar thing happened in 2004 to Wafa Constantine, also the wife of a Coptic Orthodox priest. Constantine was the second woman the ISI demanded the Copts “release.” Like Zakher, her location is not public knowledge.

The month after the Zakher incident, Egyptian media reported in error that the SSI had seized a ship from Israel laden with explosives headed for the son of an official of the Coptic Orthodox church. The ship was later found to be carrying fireworks, but another set of Islamic leaders, led in part by Nabih Al-Wahsh, an attorney famous for filing lawsuits designed to damage the church, declared without any evidence that Copts were allied with the Israelis and stockpiling weapons in the basements
of their churches with plans to overthrow the Muslim majority.

The claims were echoed on Al-Jazeera by Dr. Muhammad Salim Al-’Awa, the former secretary-general of the International Union of Muslim Scholars, and in a statement issued by the Front of Religious Scholars, a group of academics affiliated with Al-Azhar University.

There was no time for tensions to cool after Al-’Awa and the others leveled their allegations. The next month, Bishop Anba Bishoy, the secretary of the Synod of the Coptic Orthodox Church, told the Egyptian newspaper Al-Masri Al-Yawm that Muslims were “guests” in Egypt, inflaming a Muslim population already up in arms.

“The Copts are the root of the land,” the bishop said. “We love the guests who came and settled in our land, and regard them as brothers, but they want to control even our churches? I reject anything that harms the Muslims, but as Christians we will do everything, even die as martyrs, if someone tries to harm our Christian mission.”

Around the same time, the Front of Religious Scholars called for a complete boycott of Christians in Egypt. The group called Christians “immoral,” labeled them “terrorists” and said Muslims should not patronize their businesses or even say “hello” to them.

The statement by the scholars was followed by a media leak about a lecture Bishoy was scheduled to give at a conference for Orthodox clergy. In his presentation, Bishoy planned on questioning the authorship of a verse in the Quran that calls Christians “blasphemers.” Muslims believe that an angel revealed the Quran to Muhammad, Islam’s prophet, who transmitted it word-by-word to his followers. Bishoy contended there was a possibility the verse in question was added later.

The mosque protests became even more virulent, and the conference was abruptly cancelled. Bishoy was forced to issue an apology, saying he never meant to cast doubt on Islam and called Muslims “partners” with the Copts in Egypt. Shenouda also issued an apology on national television. By comparison, an Islamic publishing house that rewrote and then issued what it termed the “true Bible” caused barely a stir.

Al-’Awa then blamed the deteriorating state of Muslim-Christian relations on Shenouda and Bishoy. He accused the Coptic Orthodox Church of exploiting the government’s “weak stance” toward it and “incarcerating anyone [who] is not to its liking.”

The Al-Azhar Academy of Islamic Research issued a statement that declared, “Egypt is a Muslim state.” The statement further went on to read that the Christians’ rights were contingent on their acceptance of the “Islamic identity” of Egypt. The statement was endorsed by Ali Gum’a, the mufti of Egypt.

The statement also referenced an agreement made between Muhammad and a community of Egyptian Christians in the seventh century as the guiding document on how Christians should be governed in a Muslim-dominated state. If ever codified into Egyptian law as many Muslims in Egypt desire, it would legally cement the status of Christians in the country as second-class citizens.

In 639, seven years after Muhammad died, Muslim armies rode across from Syria and Palestine and invaded Egypt, then controlled by the Byzantines. At first the Muslims, then a new but well-armed minority within Egypt, treated the conquered Christians relatively well by seventh century standards. But within a generation, they began the Islamization of the country, demanding all official business be conducted in Arabic, the language of the Quran, and Coptic and Jewish residents were forced to pay special taxes and obey rules designed to reaffirm their second-class status.

In the centuries since then, the treatment of Christians in Egypt has ebbed and flowed depending on the whim of those in power. After the coup of 1952, in which a group of men known as the Free Officers’ Movement took power from a European-backed monarch, Copts have seen their treatment decline.

In 1971, then-President Anwar Sadat introduced a new constitution designating Islamic law as “a principle source of legislation” in Egypt. In 1980, the National Assembly made Islam the official religion of the state.

Estimates of the Coptic population range from 7 to 12 percent of Egypt’s 84 million people. They are accepted by some in Egypt and openly discriminated against by others. Violent attacks against Christians – which the government does little to prevent – accentuate tensions.

The state also routinely harasses converts to Christianity from Islam. Many have to live in some sort of hiding.

The Protestant woman said she was not sure whether attacks would happen in response to the threats, but whatever happens, she said she expects that Christians in Egypt will continue to endure persecution.

“According to the Bible, we know this is going to happen,” she said. “This is not new or novel for us. The Bible said that we will be persecuted. It is expected.”

Report from Compass Direct News

Pakistani Muslim Tortures, Accuses Christian Who Refused Slavery


Land owner falsely charges young man with illicit sex, calls villagers to beat, burn him.

SARGODHA, Pakistan, October 29 (CDN) — A Muslim land owner in Pakistan this month subjected a 25-year-old Christian to burns and a series of humiliations, including falsely charging him with having sex with his own niece, because the Christian refused to work for him without pay.

Fayaz Masih is in jail with burns on his body after No. 115 Chitraan Wala village head Zafar Iqbal Ghuman and other villagers punished Masih for refusing to work as a slave in his fields, said the Rev. Yaqub Masih, a Pentecostal evangelist. The village is located in Nankana Sahib district, Punjab Province.

Sources said neither Fayaz Masih nor his family had taken any loans from Ghuman, and that they had no obligations to work off any debt for Ghuman as bonded laborers.

Yaqub Masih said the young man’s refusal to work in Ghuman’s fields infuriated the Muslim, who was accustomed to forcing Christians into slavery. He said Ghuman considered Masih’s refusal an act of disobedience by a “choohra,” the pejorative word for Christians in Pakistan.

On Oct. 3 Ghuman and 11 of his men abducted Masih from his home at gun-point and brought him to Ghuman’s farmhouse, according to Yaqub Masih and Yousaf Gill, both of nearby village No. 118 Chour Muslim. Gill is a former councilor of Union Council No. 30, and Yaqub Masih is an ordained pastor waiting for his denomination to assign him a church.

Fayaz Masih’s family members told Yaqub Masih that Ghuman was carrying a pistol, and that the 11 other men were brandishing rifles or carrying clubs, axes and bamboo sticks. They began beating Masih as they carried him away, calling him a choohra, Yaqub Masih said.   

Gill said that Ghuman’s farmhands tied Fayaz Masih’s hands and legs and asked him once more if he would work in Ghuman’s fields. When he again refused, Gill said, Ghuman summoned four barbers; three ran away, but he forced one, Muhammad Pervaiz, to shave Masih’s head, eyebrows, half of his mustache and half of his beard.

After they had rubbed charcoal on Masih’s face, Ghuman then announced that Masih had had relations with Masih’s 18-year-old niece, Sumeera, and called for everyone in the village to punish him. He and his men placed Masih on a frail, one-eyed donkey, Yaqub Masih and Gill said, and a mob of Muslim men and children surrounded him – beating tins, dancing and singing door-to-door while shouting anti-Christian slogans, yelling obscenities at him and other Christians, and encouraging villagers to beat him with their shoes and fill his mouth with human waste, Yaqub Masih said.

Some threw kerosene on Masih and alternately set him on fire and extinguished the flames, Gill said. He added that Muslims made a garland of old shoes from a pile of garbage and put it around Masih’s neck.

Yaqub Masih said the abuse became unbearable for the young man, and he collapsed and fell off the donkey.  

 

Police Ignore Court

Masih’s sister, Seema Bibi, told Compass that the accusation that Masih had had sex with her daughter Sumeera was utterly false. She said Ghuman made the allegation only to vent his fury at Masih for refusing to work for him.

Seema Bibi said that Ghuman told her daughter at gun-point to testify against Masih in court on Oct. 4. Sumeera surprised the Muslim land owner, however, saying under oath that Masih was innocent and that Ghuman had tried to force her to testify against her uncle. A judge ruled that Sumeera had not had illicit relations with Masih, and that therefore she was free to go home.

Her mother told Compass, however, that since then Ghuman has been issuing daily death threats to her family.

After Masih collapsed from the abuse, Yaqub Masih and Gill called local police. Police did not arrive until three hours later, at 3:30 p.m., they said, led by Deputy Superintendent of Police Shoiab Ahmed Kamboh and Inspector Muhammad Yaqub.

“They rebuked the Muslim villagers that they could have killed this Christian youth, and they told them to give him a bath at once and change his clothes, in order to reduce the evidence against them,” Gill said.

Family members of Masih said Kamboh and Inspector Yaqub arrested some of the leading figures within the mob, but soon thereafter they received a call to release every Muslim.

“Instead of taking the Muslim men into custody, they detained my brother, and he was taken to the police station,” Seema Bibi said.  

On Oct. 4 police sent Masih to District Headquarters Hospital Nankana Sahib for examination, where Dr. Naseer Ahmed directed Dr. Muhammad Shakeel to mention in the medical report how severely Ghuman and his farmhands had beaten him, Gill said. He said the medical report also stated that Masih had sustained burns and that his head, mustache, eyebrows and beard were shaved.

In spite of the court ruling that Masih had not had sex with his niece, police were coerced into registering a false charge of adultery under Article 376 of the Islamic statutes of the Pakistan Penal Code, First Information Report No. 361/10, at the Sangla Hill police station.

At press time Masih remained in Shiekhupura District Jail, said Gill. Gill also has received death threats from Ghuman, he said.

The 11 men who along with Ghuman abducted Masih and brought him to Ghuman’s farmhouse, according to Masih’s family, were Mehdi Hussain Shah and Maqsood Shah, armed with rifles; Muhammad Amin, Rana Saeed, Muhammad Osama and four others unidentified, all of them brandishing clubs; Muhammad Waqas, with an axe; and Ali Raza, bearing a bamboo stick and a club.

Report from Compass Direct News

Christians in Turkey Acquitted of ‘Insulting Turkishness’


But court heavily fines them for dubious conviction of collecting personal data.

ISTANBUL, October 19 (CDN) — After four years of legal battle in a Turkish court, a judge acquitted two Christians of insulting Turkey and its people by spreading Christianity, but not without slapping them with a hefty fine for a spurious charge.

Four years ago this month, Turan Topal, 50, and Hakan Tastan, 41, started a legal battle after gendarmerie officers produced false witnesses to accuse them of spreading their faith and allegedly “insulting Turkishness, the military and Islam.”

At the Silivri court an hour west of Istanbul, Judge Hayrettin Sevim on Thursday (Oct. 14) acquitted the defendants of two charges that they had insulted the Turkish state (Article 301) and that they had insulted its people (Article 216) by spreading Christianity. Sevim cited lack of evidence.

He found them guilty, however, of collecting information on citizens without permission (Article 135) and sentenced them to seven months of imprisonment each. The court ruled that the two men could each pay a 4,500 lira (US$3,170) fine instead of serving time, said their lawyer Haydar Polat.

Tastan expressed mixed feelings about the verdicts.

“For both Turan and I, being found innocent from the accusation that we insulted the Turkish people was the most important thing for us, because we’ve always said we’re proud to be Turks,” Tastan said by telephone. “But it is unjust that they are sentencing us for collecting people’s information.”

At the time of their arrests, Topal and Tastan were volunteers with The Bible Research Center, which has since acquired official association status and is now called The Association for Propagating Knowledge of the Bible. The two men had used contact information that individuals interested in Christianity had volunteered to provide on the association’s website.

Administrators of the association stated openly to local authorities that their goal was to disseminate information about Christianity.

The two men and their lawyer said they will be ready to appeal the unjust decision of the court when they have seen the official statement, which the court should issue within a month. Polat said the appeal process will take over a year.

“Why should we have to continue the legal battle and appeal this?” asked Tastan. “We are not responsible for the information that was collected. So why are they fining us for this? So, we continue our legal adventure.”

Still, he expressed qualified happiness.

“We are free from the charges that we have insulted the Turkish state and the people of Turkey and we’re glad for that, but we are sorry about the court’s sentence,” Tastan said. “We’re happy on one hand, and sorry on the other.”

The court hearing lasted just a few minutes, said Polat.

“The judges came to the court hearing ready with their decision,” Polat said. “Their file was complete, and there was neither other evidence nor witnesses.”

Polat was hesitant to comment on whether the decision to convict the men of collecting private data without permission was because they are Christians. He did underline, however, that the court’s decision to fine the men was unjust, and that they plan to appeal it after the court issues an official written verdict.

“This was the court’s decision,” said Polat, “but we believe this is not fair. This decision is inconsistent with the law.”

 

Christianity on Trial

The initial charges in 2006 against Tastan and Topal were based on “a warning telephone call to the gendarme” claiming that some Christian missionaries were trying to form illegal groups in local schools and making insults against Turkishness, the military and Islam.

In March 2009 the Turkish Ministry of Justice issued a statement claiming that approval to try the two men’s case under the controversial Article 301came in response to the “original” statement by three young men that Topal and Tastan were conducting missionary activities in an effort to show that Islam was a primitive and fictitious religion that results in terrorism, and to portray Turks as a “cursed people.”

Two of the three witnesses, however, stated in court that they didn’t even know Topal and Tastan. The third witness never appeared in court. Prosecutors were unable to produce any evidence indicating the defendants described Islam in these terms. At the same time, they questioned their right to speak openly about Christianity with others.

Polat and his legal partners had based their defense on the premise that Turkey’s constitution grants all citizens freedom to choose, be educated in and communicate their religion, making missionary activities legal.

“This is the point that really needs to be understood,” Polat told Compass last year. “In Turkey, constitutionally speaking, it is not a crime to be a Christian or to disseminate the Christian faith. However, in reality there have been problems.”

The lawyer and the defendants said that prosecuting lawyers gave political dimensions to the case by rendering baseless accusations in a nationalistic light, claiming that missionary activities were carried out by imperialistic countries intending to harm Turkey.

Tastan and Topal became Christians more than 15 years ago and changed their religious identity from Muslim to Christian on their official ID cards.

Initially accompanied by heavy media hype, the case had been led by ultranationalist attorney Kemal Kerincsiz and a team of six other lawyers. Kerincsiz had filed or inspired dozens of Article 301 court cases against writers and intellectuals he accused of insulting the Turkish nation and Islam.

Because of Kerincsiz’s high-level national profile, the first few hearings drew several hundred young nationalist protestors surrounding the Silivri courthouse, under the eye of dozens of armed police. But the case has attracted almost no press attention since Kerincsiz was jailed in January 2008 as a suspect in the overarching conspiracy trials over Ergenekon, a “deep state” operation to destabilize the government led by a cabal of retired generals, politicians and other key figures. The lawyer is accused of an active role in the alleged Ergenekon plot to discredit and overthrow Turkey’s ruling Justice and Development Party government.

Ergenekon has been implicated in the cases of murdered priest Andreas Santoro, Armenian editor Hrant Dink, and the three Christians in Malatya: Necati Aydin, Ugur Yuksel and Tilmann Geske.

In a separate case, in March of 2009 Tastan and Topal were charged with “illegal collection of funds.” Each paid a fine of 600 Turkish lira (US$360) to a civil court in Istanbul. The verdict could not be appealed in the Turkish legal courts. This ruling referred to the men receiving church offerings without official permission from local authorities.

Report from Compass Direct News