TAX NEWS - JUNE 2010

Australia Tax: Experts Not in Favor of Mine Tax

David Murray, Head of Future Fund, wants changes to be made in proposed mining super-profits tax. He is also in the favor of abandoning the tax. Mr. Murray believes that it is a risk to investment.

Future Fund is a $61 billion venture of Rudd's Government. Not just Mr. Murray but other business leaders are also not in favor of the implementation of the resource super-profits tax. According to Mr. Murray, the tax is highly flawed. He went a step further by saying that it will rob the coming generations.

There has been increased criticism of the tax in the past few weeks. The Government-appointed Head of Infrastructure Australia, Rod Eddington and Qantas Chairman, Leigh Clifford urged the Government to start negotiations with mining industry. Sir Rod is a Director of Miner Rio Tinto and Mr. Clifford is a former Rio Chief Executive.

The Weekend Australian reported that the current issue is a very serious one and the Government should address the concerns of people who are against the implementation of this tax.

According to a spokesman of Prime Minister Rudd, the Government will deliver a fairer share of Australia's natural resources to all Australians. This will be possible through better super, lower tax for small businesses and companies, and better infrastructure.