03 May 2017

A Shorten Labor Government will improve the Budget bottom line by $5.4 billion over the decade through reforms ensuring multinational companies are no longer given a free pass to use the Liberal’s tax loopholes.

Labor’s five point plan will restore integrity to the Australian tax system through stronger laws which will close loopholes and increase tax scrutiny.

Labor’s package - Their Fair Share –includes measures that will:

  1. Tighten debt-deduction loopholes used by multinational companies, improving the Budget by $4.6 billion over the decade.
  2. Increase compliance activity by the Australian Taxation Office
  3. Remove tax advantages and inconsistencies between Multiple Entry Consolidated Groups (consisting of Australian-resident entities that share a common ultimate foreign owner) and Australian-owned ordinary consolidated groups.
  4. Deliver more tax transparency by restoring Labor’s $100 million threshold for public reporting of tax data for private companies. This threshold was raised to $200 million in another deal with the Liberals and the Greens political party.
  5. Appoint a community sector representative to the Board of Taxation to ensure community sector voices are heard in tax design and review processes.

Labor’s laws helped deliver victory to the Australian Tax Office against Chevron – Malcolm Turnbull is only interested in delivering a $50 billion tax handout to big business and the banks.

Malcolm Turnbull has a simple choice: to stand up and fight for Australian workers and businesses who pay their fair share, or sit idly by as budget revenue and fairness slip away.

A fact sheet is available here