Commonwealth of Australia Explanatory Memoranda Commonwealth of Australia Explanatory Memoranda[Index] [Search] [Download] [Bill] [Help]
2014
THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA
HOUSE OF REPRESENTATIVES
Tax Laws Amendment (Tax Transparency) Bill 2014
EXPLANATORY MEMORANDUM
and
STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS
Circulated by authority of
(Andrew Leigh MP)
Tax Laws Amendment (Tax Secrecy and Transparency) Bill 2014
OUTLINE
The intent of this bill to discourage large corporate tax entities from engaging in aggressive
tax avoidance practices.
A fair, competitive and sustainable tax system is critical for Australia's future prosperity.
Our tax system generates the revenue that a Government requires to provide quality
public goods and services.
Based on the incomplete data that is currently available, a report published by the Tax
Justice Network estimated an effective tax rate of 23% for ASX 200. 1
Such reports suggest that greater transparency is required in our tax system to ensure that
multinationals and other large companies pay their fair share of tax.
This bill will produce greater disclosure of tax information and promote tax transparency.
FINANCIAL IMPACT
The bill will have no financial impact.
NOTES ON CLAUSES
Clause 1: sets out the short title of the Act
Clause 2: states that the Act commences on the day following Royal Assent
Clause 3: sets out that this Act will amend the Tax Laws Amendment (2013 Measures
No. 2) Act 2013
Schedule 1 (1): brings forward to 2012-13 the requirement for the tax commissioner to
publish certain tax information for corporate entities with a total income of $100 million or
more
1
Who pays for our common wealth? Tax practices of the ASX 200 (United Voice & Tax Justice Network - Australia)
STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Tax Laws Amendment (Tax Secrecy and Transparency) Bill 2014
This bill is compatible with the human rights and freedoms recognised or declared in the
international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny)
Act 2011.
Overview of the bill
The intent of this bill is to discourage large corporate tax entities from engaging in
aggressive tax avoidance practices by promoting greater transparency.
Human rights implications
This bill does not engage any of the applicable rights or freedoms.
Conclusion
This bill is compatible with human rights because it does not raise any human rights
issues.
Andrew Leigh MP