A whopping 37% of the corporate tax cut will immediately head offshore if the Senate passes the Federal Government’s grovel to big business, a new report shows.
The UTS report (commissioned by GetUp) finds:
At least $1.96 billion dollars of the $5.271 billion annual value of the corporate tax cut will flow directly offshore each year.
Banks and finance corporations will receive 45% of the total value of the corporate tax.
Seven of the top 20 corporations are mining and energy corporations. They will receive a $1.56 billion annual windfall, of which 63% will flow directly offshore.
Two of the top 20 beneficiaries are Big Tobacco companies (British American Tobacco and Philip Morris). These companies will receive $88.5 million extra each year, of which 100% would flow offshore.
GetUp national director Paul Oosting said the Turnbull Government's corporate tax cut policy is nothing more than a reiteration of decades of failed trickle-down economics.
“The Turnbull Government is living in fantasy land if it thinks voters believe giving multinational corporations billions in handouts will somehow increase wages or improve living standards.”
“Right now, the big business lobby is applying enormous pressure on the Senate crossbench to pass the Turnbull Government’s $65 billion corporate tax cut.
"We're calling on Senators to stand up for the interests of everyday Australians in the face of this corporate misinformation campaign.
"The Australian people want the government to fund our local schools and hospitals, not handouts for the biggest corporations – many of which already pay $0 tax.”
Polling released earlier this week showed even in Malcolm Turnbull’s electorate of Wentworth, 70% of people think the corporate tax cut is unfair.