The Government is ensuring multinational tax dodgers pay their fair share of tax, helping to ensure crucial government services can be delivered and are more sustainable.
Federal Member for Pearce, Christian Porter, welcomed the news that around $2 billion in tax is expected to be clawed back this financial year under the Liberal Government’s crackdown on multinational tax avoidance.
The $2 billion in tax liabilities from multinationals is expected to come from assessments relating to seven Australian Taxation Office (ATO) audits of large multinational companies in the energy, resources and e-commerce sectors.
“This is further proof that the Government’s strong action is effectively dealing with non-compliance behaviour of multinationals in Australia,” Mr Porter said.
“Australia needs a sustainable tax system with integrity to ensure we can afford the services and infrastructure Pearce residents rely on now and into the future.
“Bill Shorten and the Labor Party voted against the Multinational Anti-Avoidance legislation, which is not surprising and is further proof the Liberal Government has gotten on with the job of strongly combatting those multinational companies who seek to game the system.
“We continue to build on these tough measures, recently introducing legislation implementing the new Diverted Profits Tax.
“This additional legislation will close loopholes and prevent multinationals shifting the profits that they earn in Australia offshore to avoid paying tax.
“I know this will be welcome news to everyone across the Pearce electorate as there is broad agreement that multinationals must pay their fair share of tax.”
The Diverted Profits Tax will commence on 1 July 2017, and is expected to raise $100 million in revenue a year from 2018-19.