Automotive Industry - Tax Dodge

[ol' boy]

Wow, there is avoiding TAX, then there is this!



Granted, they no doubt pay other taxes outside company tax, but wow, haven't they got some good accountants.

[ol' boy]

Of course... The list doesn't start and end with the Automotive industry

Take a look at the full list:



And one that might interest some here, FOXTEL:

[Uncle Fester]

LOL, see my sig

Some of them do give generous donations to our political parties though.

Funny thing is Morrison's 20 billion corporate tax break is supposed to attract overseas companies to do business here.
We probably aready have the lowest corporate tax in the western world with all these loopholes, at least if you are a big business.
0% as some above examples show. What a tax haven we are.

[gordon_s1942]

My idea of a Super Dooper Tax dodge is when the Government pays the Company that amount it should have paid the Government...........

[gamve]

The disgrace here is not the arsehole companies that avoid paying tax, (we can choose to boycott these c**ts) but our absolutely gutless mindless
graft taking governments that do nothing year after year after year to take these corporations to task....after all it is much easier to target small
business (and look like you are doing something) and hassle the shit out of them for peanuts compared to these corporate barsteds......pathetic

[gordon_s1942]

Governments make the Rods for their Own backs like when any investor in the Australian Film Industry got a a 107% Tax Break. If I read correctly this wasnt only on the investment but covered other investments as well.

[lsemmens]

Don't blame the companies. The rules are there for us all, it's not their fault that they have good accountants. It falls to the government of the day to ensure that the rules are fair for all.

[madtech]

This rorting is fairly easy to fix. For international companies go from a profits based tax to a gross income based tax. Say 5% of gross turnover in Australia.

[ol' boy]

This rorting is fairly easy to fix. For international companies go from a profits based tax to a gross income based tax. Say 5% of gross turnover in Australia.

You'd think the GST would be doing that, do some degree
But the bean counters will find a way around it

[trash]

Are you OUTRAGED ?

Sorry, I had to use a big font as an example of what is going on here.

So the first question to ask is; Is the narrator lying to you or maybe just exaggerating the truth a little to help fire you up?

Ok, so I'm not questioning the company's practices here. We can just assume they are guilty for this exercise and move on.
Are you being deceived?

Well lets have a look close look at the claims. I've just paused on Nissan because it was they repeated the same slight of hand they performed with itchymicky.
On the screen it has $7.3 billion revenue.
The focus here is revenue. This is not profit and profit is what they are taxed on at a rate of 30%.

So Nissan might make $7 billion dollars worth of cars, but it might cost them $7 billion dollars to make and deliver them, in which case, they would pay zero tax and that would be completely legal.
$70,000 for a Nissan patrol, that's 100,000 cars with no profit. That's a lot of new cars. But that is what Australia buys each month! Dang !

Ok, now admittedly not all new cars are a $70k 4x4. A lot are $20,000 rice burners. But what a lot of people don't know is that new cars do not have a lot of profit on them and most of that is the dealer's markup.

So what we have here is a classic case of media sensationalism and "cooking the books".

Looking at their company report out of Japan, their global profit was about $2 billion aud.

Then there are some other issues to consider. Like how an where those profits are spent.
Some of it might be handed over to share holders unfranked in which case, those shareholders are paying the tax.
This also doesn't take into account reasonable and legitimate deductions.

What you end up with is that these companies do actually pay tax and they end up paying about 20-25% in tax based on income at the end of the day.
So while the tax they do pay is minimised, it's not nothing.

Next time you see this on tabloid TV, stop and look and listen to what they are talking about and not just the numbers.
Even the banks - I noticed that the media used "revenue" and then in following sentences switched their wording to "obscene profits".
Very crafty.... They were honest with their first statement. They use the "bait and switch" and start talking about something different leaving you with the wrong impression and that is poor journalism.

If you want to find a business that really pays no tax. Then look no further than the end of your street where your local religious establishment, or as I like to call it, the till on the hill, is milking the faithful for coin.
$cientology, Hill$ong, even $anitarium and everybody's favourite, I$lamic Halal !

[madtech]

If you want to find a business that really pays no tax. Then look no further than the end of your street where your local religious establishment, or as I like to call it, the till on the hill, is milking the faithful for coin.
$cientology, Hill$ong, even $anitarium and everybody's favourite, I$lamic Halal !

You forgot one union$

[trash]

Yep. I can't fault that logic.

A Union is a dysrepresentative organisation that does greater evil for a lesser good.

[madtech]

Personally I think the only tax free organisations should be ones who donate at least 90% of their total gross income to those in need, ie genuine charities.

[alpha0ne]

Personally I think the only tax free organisations should be ones who donate at least 90% of their total gross income to those in need, ie genuine charities.

but...butbutbutbut the DO 'donate' 90% of the funds raised...........................to 'overheads' and wages to those lucky ppl raising said donations