Friday, 18 September 2015

What a difference a week can make!

This week, we have a new Prime Minister. Next week, we might see further changes to our country's leadership.

One thing remains the same though - our need for tax reform.

First up this week, on Monday Deloitte Access Economics released its report entitled Shedding light on the debate: Myth-busting tax reform, putting the issues of bracket creep, the GST and company tax cuts front and centre of the tax reform debate.

This was followed on Wednesday by the Assistant Treasurer Josh Frydenberg's speech entitled “An efficient and resilient GST"  that shone the spotlight on GST.

Also on Wednesday, the Government introduced into Parliament legislation to combat multinational tax avoidance. The same Bill also implements Action 13 of the G20 and OECD's Action Plan on Base Erosion and Profit Shifting, concerning transfer pricing documentation and Country-by-Country reporting. There is more to come on both these fronts as the work of the G20 and OECD on multinational tax avoidance continues. A copy of the Bill can be accessed here. The Tax Institute's views on these issues can be found on our website – please refer to our submissions.

Whatever comes of the action packed week we have had in the world of tax, clear direction and a commitment to structural tax reform at home is still needed. Perhaps next up, this will be reinvigorated.


Stephanie Caredes CTA is a Tax Counsel of The Tax Institute.
 
The Tax Institute is Australia’s leading professional association in tax. Its 13,000 members include tax agents, accountants and lawyers as well as tax practitioners in corporations, government and academia.