Cutting company tax handed out delight to the government’s core constituency but serves only to exacerbate some of the issues with Australia’s tax mixIn February,Malcolm Turnbull suggested the budget would “for all practical purposes” be the government tax white paper. In the end it was nothing of the sort. The major initiative of cutting company tax was a decision that handed out delight to the governments core constituency, but serves only to exacerbate some of the issues with Australia’s tax mix.
Cutting the company tax rate to 25% has been a pretty long-held staple of tax policy. The Henry Tax Review – now going on six years old – recommended such a reduce. It has also been one of the common recommendations from the OECD. Continue reading...
Source: theguardian.com