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I don't think that they would see it as adding it back twice, so much as looking at your income from a different point in time. I guess at some stage you were paid $100k. I would prefer to be paid $100k and have the choice to negatively gear than to have zero income. I understand that from your...

OK, I may be missing something here as I have no knowledge of the FTBs, but are you really saying that a high income earner who chooses to negatively gear their investments, chooses to sacrifice $25k a year into super, thereby choosing to have less net income, should be subsidised by the welfare...