‘FAIR TAX: New laws preventing multinational tax avoidance’

“The Australian Government is ensuring multinational corporations pay their fair share of Australian tax. We’re introducing new laws, closing loopholes and ensuring profits are taxed here. As a result, more money will be invested here, benefiting Australian communities and the economy.

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Some multinational corporations use legal and accounting loopholes to move undeclared profits overseas, in order to pay less tax.

To prevent this behavior, the Government has introduced a new penalty tax. From 1 July 2017, large multinational corporations that move profits overseas to avoid Australian tax will be penalised with a tax of 40%.

The Diverted Profits Tax is designed to strengthen Australia’s multinational tax avoidance laws and will raise an extra $100 million per year from the 2018-19 financial year.

For more information on the Diverted Profits Tax, visit the ATO ”

Source: https://fairtax.gov.au/

By | 2017-06-29T19:02:06+00:00 June 29th, 2017|Penalty 40% tax on profits moved overseas, Taxes|0 Comments
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