Home' Australian Resources and Investment : March 2017 Contents company tax rate (for large businesses)
out of the OECD countries, up there
with Greece, Portugal and Belgium,
whose economies are hardly the models
The Tax Foundation also found that
Australia's 30 per cent corporate tax rate is
above the world average of 22.38 per cent,
and higher than that of other countries in
the Asian region, whose average corporate
tax rate is 20.86 per cent.
Even the United Kingdom, where my
company recently acquired a stake in a
future polyhalite mine, have a company
tax rate well below ours of 20 per cent,
and it is scheduled to further decrease
to 17 per cent by 2020.
Additionally, recent proposals in West
Australia to increase the tax burden on
iron ore mining are misplaced and very
The situation is this: the Australian
iron ore industry already has the
second-biggest tax burden in the world.
On average, Australia's two
biggest miners -- Rio Tinto and BHP
Billiton -- pay $19 per tonne of iron
ore produced, and any extra on top of
that (as currently proposed in West
Australia) would see Australia become
the highest taxing jurisdiction for iron
ore in the entire world. Rio Tinto have
publicly called this threat to West
Australia the biggest threat to their
iron ore mining business that they face
anywhere in the world.
This new tax, if introduced, would
also cost many jobs in both mining and
As I outlined at the start of my
speech, the mining industry has done so
much for Australia over the decades --
[the industry] and its related industries
contribute billions and billions to the
economy, and create opportunities and
jobs for millions.
The mining industry cannot, however,
be the government's perpetual ATM or
cash cow. Our industry has to compete
internationally or lose its markets.
We are continually targeted and told to
give more and more money to solve political
problems we didn't cause or create.
It wasn't the mining industry that
created our record national government
debt of more than $450 billion.
It's the next generation who will be
left to pay this off, with an increasing
elderly proportion of people requiring
more health services and support.
Employees in our industry, including
related industries, need to become
more vocal and diffuse the perception
of 'hit mining and all of our problems
as a country will be solved', or sadly the
consequences will be fewer jobs in our
industry and related industries.
As Winston Churchill so eloquently
said, 'For a nation to try to tax itself into
prosperity is like a man standing in a
bucket and trying to lift himself up by
Reductions in government spending
and policies to encourage investment --
such as less government tape, less taxes
and less other government expense,
which in turn will lead to stronger
economic growth, like America after its
president-elect takes of ce -- will help
to grow the economy and help to pay
back this debt. Higher taxes are not the
answer to pay off this debt.
Australians for Northern
Development and Economic Vision
(ANDEV) is a group I founded of
concerned Australians who advocate for
lower taxes and less red tape, to enable
investment and development, similar to
We advocate for special economic
zones to be set up in the north to
encourage investment to develop this
Special economic zones would help
to build more towns and businesses
in our north, and would provide more
infrastructure, more amenities for
people in the outback, as well as new
opportunities and employment.
Special economic zones operate
successfully in many parts of
the world, and they can operate
successfully here, too.
I encourage everyone here tonight
to visit www.andev-project.org and get
involved in defending and supporting
Ultimately, mining is one of our
country's most significant and
Whether it's the watch you're wearing
on your wrist, the jewellery you're wearing,
or the iPhone that you've checked a few
times tonight, mining is essential.
I am so pleased that we have a day
to celebrate mining's importance, and
to recognise its incredible stories and
history, and I wish everyone a happy
Mining and Related Industries Day!
VOLUME 11 NUMBER 1 • Australian Resources and Investment • 11
Links Archive December 2016 June 2017 Navigation Previous Page Next Page