In April the Federal Court ordered the oil and gas multinational Chevron to pay $340 million in tax. For the past few years this company has gotten away with paying no company tax at all by claiming that it did not make a profit.
The truth is it made billions, but the company inflated its expenses by having its Australian operation take a loan from a US subsidiary with an interest rate 25 times higher than the market norm.
Jaime Nebot. Photo: ANDES.
Ecuadorian President Rafael Correa singled out opposition politician Jaime Nebot, who has been calling for protests against the government, as a clear example of the progress the country has made with respect to the collection of taxes.
Correa came to power in 2007. He said in 2006, Nebot paid just US$1994 in income taxes, but by last year the opposition leader was paying US$66,593.
Green Left Weekly is taking a break for the summer from December 11 to January 22. To fill the void, it asked staff, contributors and others to recommend their favourite books of the year.
The billionaires and their corporate courtiers had a sneer and snigger fest when BHP Billiton, Xstrata and Rio Tinto informed the Tax Office they would pay zero mining tax for the first quarter of this financial year.
The federal Labor government's mid-year budget update downgraded the tax's forecast revenue from $13.4 billion over four years to $9.1 billion. But these mining giants told the media it was not clear how much, if anything, they would pay over the rest of the financial year.
What a sorry end to the mining super-tax profits saga.