Why Australia Needs Competitive Tax
Australia is at a critical point.
Our economy is beginning to show green shoots so now is the time to pull out all stops to super charge that growth.
Now is the time to push hard for increasing our productivity so we can create the conditions for higher incomes.
Now is the time to get big investments in sectors like mining, agriculture, energy and advanced manufacturing so we can compete and export on the global stage.
This is what a more competitive company tax rate is all about. Driving more investment so we can create new businesses, expand existing business, export more, create new jobs and deliver higher incomes.
We are falling behind on our tax rates.
We have no time to waste.
- Australia’s top company tax rate of 30% is the 3rd highest in the OECD.
- The average company tax rate across the OECD is 24%.
- The average company tax rate in Asia is 21%.
- As other countries have lowered their company tax rates, Australia’s has been left frozen in time for 16 years.
- Australia’s top company tax rate of 30% will shut us out of the competitive global contest for investment needed to create jobs and drive higher wages.
- The proposed reduction to a top rate of 25% will permanently grow the Australian economy by 1% – or $18 billion a year in today’s terms.