AFP, Sydney :
Australia Monday announced plans to go after large multinational firms shifting profits offshore to minimise taxes, with 30 companies in the government’s sights.
It also outlined proposals to force companies selling digital products, such as streamed content and e-books, to pay a goods and services tax.
Treasurer Joe Hockey, who last year said the practice of corporations shifting profits amounted to “theft”, said he would reveal the new legislation when he hands down the national budget on Tuesday.
“The government will be proceeding with new tax integrity measures in the budget,” he said, adding that the multinational anti-avoidance law would target the activities of 30 identified companies.
“These companies are diverting profits earned in Australia away from Australia to no tax or low-tax jurisdictions,” said the treasurer.
The initiative comes amid increased efforts by governments around the world to crack down on global firms that use complex corporate structures to lower their tax bills.
Australia Monday announced plans to go after large multinational firms shifting profits offshore to minimise taxes, with 30 companies in the government’s sights.
It also outlined proposals to force companies selling digital products, such as streamed content and e-books, to pay a goods and services tax.
Treasurer Joe Hockey, who last year said the practice of corporations shifting profits amounted to “theft”, said he would reveal the new legislation when he hands down the national budget on Tuesday.
“The government will be proceeding with new tax integrity measures in the budget,” he said, adding that the multinational anti-avoidance law would target the activities of 30 identified companies.
“These companies are diverting profits earned in Australia away from Australia to no tax or low-tax jurisdictions,” said the treasurer.
The initiative comes amid increased efforts by governments around the world to crack down on global firms that use complex corporate structures to lower their tax bills.
