The Forum > General Discussion > Mutili national tax avoidance is back on the radar, but at what cost1
Mutili national tax avoidance is back on the radar, but at what cost1
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Sure, we can force these international giants to pay what ever percentage of tax we choose, and sure, we can then do the numbers Revenue/sales/tax payable and hi presto, billions more in tax.
BUT, what we can't do is force them to continue trading in what is one of, if not the, most expensive countries to do business in.
Our movie stars and sporting greats are a prime example.
One person can make tens if not hundreds of millions each year from movies, move to a tax haven country, or a country that treats tax differently and pay little to no tax and they are not on any radar. This is just one person employing few people directly if any at all.
So with the likes of Hugh Jackman, possibly having made in excess of a billion, how much tax has he paid in Australia?
Governments and supporters of tax hunts like these need to remember one very simple rule, that is, 'for every action there is a reaction' and the reaction in this case may well be that many of these corporate giants, who collectively raise billions in taxes from company tax, to payroll tax, to GST, PAYG, Fuel excise, FEES etc, the list goes on. They also occupy massive amounts of corporate space, all of which could be placed at risk.
Unfortunately the mass stuff ups of the Kevin 07 experiment are coming home to haunt us and governments have no idea which way to turn.