Butch, I take all you say into account.

Given your qualification that corporations should pay one third the tax rate of the non corporate business, the flow ons you describe are true for any enterprise short of a sole trader...they all generate jobs and flow ons.

The opening thread had one premise; if corporations paid the same percentage of tax they paid in 1980 the government will have a healthy revenue stream. Consider these facts:

Australia signed the Lima Agreement in 1973, over a period of 30 years this agreement dismantled our manufacturing base. In 1973 combined Australian household savings was 16% of our GDP. In 1974 they introduced easy credit to Australia via Bankcard.....and sent them to everybody, even the dead. In the 30 years since we have seen personal debt boom to the point where household savings now struggle to hit 2% of GDP. In those same 30 years the average global tax rate for corporations fell from 27% to 8%. Butch if you believe the corporations are our benefactors..........there is nothing I can say.

Re the legality of the tax minimisation strategies....legal yes, but morally bankrupt regarding the contribution these mega money corporations give back to the society that supports them.

But that's where your theory and reality diverge, sonofgloin.

>>The opening thread had one premise; if corporations paid the same percentage of tax they paid in 1980 the government will have a healthy revenue stream. <<

Your opening post on this thread gave us a figure of 27.3% "Corporate Taxes as a Percentage of Federal Revenue" in 1955, comparing it with 8.9% in 2010.

Think for one moment how many assumptions you are making in suggesting that this one single comparison can produce a "healthy revenue stream".

The biggest assumption of all being that the taxable basis - that's profits, remember - would be the same today, if the businesses had operated under your tax regime. Your proposal to tax corporations three times as much would have a massive impact on their ability to invest in growth, and therefore by definition, in people.

What staggers me most is that you still seem unable to grasp this fundamental, elementary point.

The second aspect I find amazing is that you appear unable to accept that corporate taxation is levied identically across small, medium and large businesses.

And this I also find confusing.

>>Re the legality of the tax minimisation strategies....legal yes, but morally bankrupt regarding the contribution these mega money corporations give back to the society that supports them.<<

What is "morally bankrupt" about using retained profits to employ more people in a productive enterprise, rather than give it to a morally bankrupt government, who fritter it away on pollies pay and perks?

Pericles, you ignored or missed the link I provided.......so here it is again.

http://www.abc.net.au/news/2014-09-29/a-third-of-top-australian-companies-pay-less-than-10pc-tax/5775870

And you clearly missed my response, sonofgloin.

>>The corporate tax rate is the same for every business, large or small. Allowable deductions are the same for every business, large or small<<

Which part of this still remains a mystery to you?

Pericles>> Which part of this still remains a mystery to you?

‘It’s a mystery to me, the game commences, for the usual fee plus expenses”
P, a line from an old Dire Straits song.....the only thing I really know about is the hydrologic cycle, everything else is a mystery to me, plus expenses. I am on a lifelong learning curve.

Pericles>>The second aspect I find amazing is that you appear unable to accept that corporate taxation is levied identically across small, medium and large businesses.<<

Some of the tax waivers or credits that the corporations legally use are not pertinent to the PTY LTD trader because of scale....I discussed scale with you earlier; they are not large enough or structurally diverse enough to take advantage of them.

You could say that the tax breaks beyond what the PTY LTD companies are able to utilize were written into law just for the corporations, allowing them to pay only a third of what the local Mathew and Sons PTY LTD pay as a percentage of their earnings.

While I am at it.
It grieves me to know that the cost of gas is rising because of the deal the corporations have made with our bastard good for nothing pollys and bureaucrats. We are the only gas exporter that has allowed the corporations to charge us the European market rate, every other supplier country has done a deal for their people.......except stupid Australia.

As I have said before, global miners get more return on investment in Australia than any other country they deal with. Some despot in Africa hammered out a better deal than our talentless self serving political swill

Examples, sonofgloin?

>>Some of the tax waivers or credits that the corporations legally use are not pertinent to the PTY LTD trader because of scale<<

(But you knew I was going to ask that, didn't you.)

>>You could say that the tax breaks beyond what the PTY LTD companies are able to utilize were written into law just for the corporations, allowing them to pay only a third of what the local Mathew and Sons PTY LTD pay as a percentage of their earnings.<<

You could say that, of course. But it is always better to have evidence that supports you when you do so.

>>Some despot in Africa hammered out a better deal than our talentless self serving political swill<<

And who might that be?

Really, sonofgloin, if we are to have a sensible discussion on tax, as opposed to a bar-room rant, it does help to deal in facts as well as emotions.