A post from Peter Strong Executive Officer COSBOA.
Below is a message we received from a small business owner. The issue raised is important, we must have a tax system that is fair for all and does not give a break to the people that don’t pay tax. When I worked as a consultant to the World Bank in developing economies it was made clear that a country must have a tax system in which people have trust. Without that trust more and more people will assume that since everyone else is dodging tax they might as well dodge it too. This means the government will not have enough funds to run the country. Bribery and corruption will ensue. My World Bank colleagues would tell me that when a country becomes poor there is more likelihood of dictatorships or extremes of government. There is more chance of ideologues and war. Look at history.
Australia is a long way from that scenario but we should fight hard to make our companies, and multinational companies like Amazon pay their taxes where they earn their money, not pay taxes to corrupt or insignificant countries (Luxembourg and Ireland are not financially corrupt but they are ethically corrupt for allowing these multinationals to steal from other countries). If we want international peace and health then all companies should pay their taxes where they earn those profits. Simple really.
See a longer article on tax avoidance HERE
Message via COSBOA website
Contact name: Nick COSTABILE
I run a small business in Melbourne and was wondering if your organisation undertakes lobbying to Federal Government as small business needs to be on same playing field as large international corporates when it comes to paying taxes, we have lost out on many Tenders to large oversees consulting firms who ship their money back to overseas tax havens…… Can something be done about this as it is something that needs lobbying at Senior Ranks.
Further comment from this business owner below
Thanks for acknowledging my email Peter and good to hear some lobbying is being undertaken, I don’t want to get to political about it but seems the previous and past Governments have spent more time looking after the top end of town as opposed to looking after the small business operator, which keeps this country ticking over. Myself and most of my other mates in small business (All in our early 50’s) are really feeling the pinch now and have seen a decline in Middle Class in this country and will only get worse if things don’t turn around.
Instead of Governments spending money on developing new industries and supporting the small business community they are allowing the “BIG FISH”To take over and we are left holding the baby.
Australia was once the lucky country, love this place but seems we need some real soul searching here in order to sustain ourselves, we are totally different to the rest of the world, unique landscape with only 22/23 million people and the sooner we stop utilising US based business models the better off we will be, I worked in Large Corporates for over ten years ,the top end of town company’s always utilised the US based business models and guess what….. NEVER WORKED and never will in this country.
Like I said people in their 50’s now are really seeing the decline this country has sustained over the past 15 years, you cannot judge the wealth ofa nation on the value of its house prices, especially with 66% of our national Debt tied up in Mortgages, starting to sound like what happened in the USA before the property crash…… I still can’t get my head around how we have judged HOWARD and COSTELLLO as two of the best political leaders in this country when we were pulling so much raw material out of the ground sending it to CHINA and then just watching the money meter turn over….. A year 7 economy student could have run the country when these two were in power….. All too hard now – CHINA has put the brakes on.
Sorry to sound negative Peter but I am pretty passionate about this country and don’t want to see it being sold off like lambs to a slaughter, this country was build by the working class Australian and small business and we cannot let it slip away
Thanks again and hope you have a great day !
PS: As you can see we work in the recruitment space (Professinal Engineers) and industry always screaming for Engineers and skills shortage…… that too is a load of Political Garbage, we are only a small operator and I have 100 Engineers on my books now who cant get a job, the reality of it is the BIG FISH company’s want to bring Engineers in from abroad and pay them peanuts ( Look at the Roy Hill Project in WA) most of the engineers are from abroad and we have
Australian Engineers walking the streets in PERTH.