Multinational corporations including tech giants like Google and Apple make money in Australia, but it’s entirely possible and perhaps likely that they’re not paying an equitable amount of tax on that revenue. The namesake of one of Australia’s most iconic retailers continues to clamour for multinationals to pay an amount of tax he feels reflects their local operations.
SMH reports that Gerry Harvey has come out to speak up on “corporate tax dodging”, saying that those companies are working hard to minimise their local tax presence and present their concerns to government about current tax laws and any potential reforms: “Without mentioning names, there’s a lot of lobbying going on, and they’re presenting their case as if they’ve got a legitimate gripe.”
Apparently being one of the 100 most trusted Australians, Gerry Harvey has an interest in pointing out multinational companies minimising tax that compete in Australia with his Harvey Norman retail chain, and both Google and Apple sell a range of smartphone handsets, tablets and accessories. If Harvey Norman pays tax exclusively as an Australian company and cannot minimise tax by shifting profits overseas, it sits at a competitive disadvantage.
Harvey is almost along in speaking out in favour of reforms to corporate tax, although Wesfarmers CEO Richard Goyder has also said he believes that companies operating businesses within Australia should pay tax “in the communities in which they operate”. [SMH]