Australian Politics Forum - Chevron paid $240 tax on 1.7 billion revenue

perceptions_now

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #15 - Nov 10^th, 2015 at 2:23pm

This issue of Global players paying their fair share of Tax, for business done in Australia, is one of many issues involving both Revenue & Expenditure, which must be "fairly resolved".

It must also be completed soon!

In fact, both Liberal & Labor should already have resolved this issue, quite some time ago & neither Liberal nor Labor took the action/s that were required!

That said, nor did most other Political Party's around the world, I wonder why???

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Its time Gold Member Offline Boot libs out Posts: 25639 Gender:	Re: Chevron paid $240 tax on 1.7 billion revenue Reply #16 - Nov 10^th, 2015 at 2:46pm The rich pay all the tax
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stunspore Gold Member Offline Australian Politics Posts: 5097 Gender:	Re: Chevron paid $240 tax on 1.7 billion revenue Reply #17 - Nov 10^th, 2015 at 3:17pm Not sure how cuts to business tax in this case actually helps. But this is revenue and not profit. Profit shifting is so shifty.
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crocodile Gold Member Offline Australian Politics Posts: 6683 Gender:	Re: Chevron paid $240 tax on 1.7 billion revenue Reply #18 - Nov 10^th, 2015 at 3:40pm It appears that all is not quite so rosy at the ATO http://www.afr.com/business/energy/gas/round-2-how-tough-will-tax-office-play-af... Looks destined for the high court where interest rate arbitrage is yet to be tested. I'll take an early punt and say the ATO will pull out.
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Kytro Gold Member Offline Blasphemy: a victimless crime Posts: 3409 Adelaide Gender:	Re: Chevron paid $240 tax on 1.7 billion revenue Reply #19 - Nov 10^th, 2015 at 4:08pm Its time wrote on Nov 10^th, 2015 at 2:46pm: The rich pay all the tax They pay a large proportion, and it still affects them less.
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Kytro

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #20 - Nov 10^th, 2015 at 4:14pm

crocodile wrote on Nov 10^th, 2015 at 3:40pm:

It appears that all is not quite so rosy at the ATO

http://www.afr.com/business/energy/gas/round-2-how-tough-will-tax-office-play-af...

Looks destined for the high court where interest rate arbitrage is yet to be tested. I'll take an early punt and say the ATO will pull out.

It has to test it's new powers sometimes, might as well be now. If they do withdraw it would send a message that Australia isn't going to be enforcing transfer pricing taxation. If they go ahead and lose the case, they can argue that stronger legislation is needed.

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crocodile

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #21 - Nov 10^th, 2015 at 4:27pm

Kytro wrote on Nov 10^th, 2015 at 4:14pm:

crocodile wrote on Nov 10^th, 2015 at 3:40pm:

It appears that all is not quite so rosy at the ATO

http://www.afr.com/business/energy/gas/round-2-how-tough-will-tax-office-play-af...

Looks destined for the high court where interest rate arbitrage is yet to be tested. I'll take an early punt and say the ATO will pull out.

It has to test it's new powers sometimes, might as well be now. If they do withdraw it would send a message that Australia isn't going to be enforcing transfer pricing taxation. If they go ahead and lose the case, they can argue that stronger legislation is needed.

It's not really about transfer pricing. They've been tested. The argument stems from the profit made with the arbitrage of interest rates between US dollars and Aussie dollars. Chevron argue that they can loan the local subsidiary in whatever currency they want. The ATO says that the tax should be payable as if it were retransacted in AUD.

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Very funny Scotty, now beam down my clothes.

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Jovial Monk

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #22 - Nov 10^th, 2015 at 4:49pm

Subject to some major commitments by both major Parties there will be little tax revenue from major corporations.

The Libs were stupid enough to let a lot of experienced and skilled staff in the area of corporate taxation go. S*T*U*P*I*D* these people are now employed in large accountancy firms advising corporations how to avoid tax.

Deeming will be the only way. Deem an EBIT from revenue and deem the tax payable on that. Of course, the brainless, traitorous Libs have signed us up to the moronic TPP so that probably will be challenged in a court friendly to big corporates raping small countries.

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Get the vaxx! 💉💉

If you don’t like abortions ignore them like you do school shootings.

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President Elect, The Mechanic

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #23 - Nov 10^th, 2015 at 4:54pm

John Smith wrote on Nov 10^th, 2015 at 8:12am:

yes but the idiots from the libs will tell us it's for our own good Cheesy

bullshit...

and they are not the only company either... there's hundreds of them that are not paying their way...

like in Armchairs post - get rid of all tax and put 2% on everything.... they can't escape paying tax then... no one can.. and it shares the load equally..

http://www.2gb.com/audioplayer/138551

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Q

The STORM has arrived
Every Dog Has Its Day...
Dark to Light.
Sheep no more.

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Kytro

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #24 - Nov 10^th, 2015 at 5:21pm

crocodile wrote on Nov 10^th, 2015 at 4:27pm:

Kytro wrote on Nov 10^th, 2015 at 4:14pm:

crocodile wrote on Nov 10^th, 2015 at 3:40pm:

It appears that all is not quite so rosy at the ATO

http://www.afr.com/business/energy/gas/round-2-how-tough-will-tax-office-play-af...

Looks destined for the high court where interest rate arbitrage is yet to be tested. I'll take an early punt and say the ATO will pull out.

It has to test it's new powers sometimes, might as well be now. If they do withdraw it would send a message that Australia isn't going to be enforcing transfer pricing taxation. If they go ahead and lose the case, they can argue that stronger legislation is needed.

It's not really about transfer pricing. They've been tested. The argument stems from the profit made with the arbitrage of interest rates between US dollars and Aussie dollars. Chevron argue that they can loan the local subsidiary in whatever currency they want. The ATO says that the tax should be payable as if it were retransacted in AUD.

The article seems to be saying that the rate they charged wasn't "arm's length" and thus the difference between an arm's length rate and the rate they charged is taxable. It's less to do with the currency and more to do with if the loan was similar to borrowing from an unrelated party.

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crocodile

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #25 - Nov 10^th, 2015 at 6:51pm

Kytro wrote on Nov 10^th, 2015 at 5:21pm:

crocodile wrote on Nov 10^th, 2015 at 4:27pm:

Kytro wrote on Nov 10^th, 2015 at 4:14pm:

crocodile wrote on Nov 10^th, 2015 at 3:40pm:

It appears that all is not quite so rosy at the ATO

http://www.afr.com/business/energy/gas/round-2-how-tough-will-tax-office-play-af...

Looks destined for the high court where interest rate arbitrage is yet to be tested. I'll take an early punt and say the ATO will pull out.

It has to test it's new powers sometimes, might as well be now. If they do withdraw it would send a message that Australia isn't going to be enforcing transfer pricing taxation. If they go ahead and lose the case, they can argue that stronger legislation is needed.

It's not really about transfer pricing. They've been tested. The argument stems from the profit made with the arbitrage of interest rates between US dollars and Aussie dollars. Chevron argue that they can loan the local subsidiary in whatever currency they want. The ATO says that the tax should be payable as if it were retransacted in AUD.

The article seems to be saying that the rate they charged wasn't "arm's length" and thus the difference between an arm's length rate and the rate they charged is taxable. It's less to do with the currency and more to do with if the loan was similar to borrowing from an unrelated party.

Yes, that's right. Chevron are saying the difference is due to their arbitrage activities. I'm no expert on this but I would suggest that if the ATO want to go after organisations that gain from arbitrage it will have to work both ways. That is, if the arbitrage turns out to be a loss, a deduction would be in order. The old saying, be careful what you wish for.

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Very funny Scotty, now beam down my clothes.

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Its time Gold Member Offline Boot libs out Posts: 25639 Gender:	Re: Chevron paid $240 tax on 1.7 billion revenue Reply #26 - Nov 10^th, 2015 at 7:45pm Bump
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Bam Gold Member Offline Australian Politics Posts: 21905 Gender:	Re: Chevron paid $240 tax on 1.7 billion revenue Reply #27 - Nov 10^th, 2015 at 8:06pm Its time wrote on Nov 10^th, 2015 at 2:46pm: The rich pay avoid all the tax Fixed it for you.
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John Smith

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #28 - Nov 10^th, 2015 at 8:22pm

President Elect, The Mechanic wrote on Nov 10^th, 2015 at 4:54pm:

John Smith wrote on Nov 10^th, 2015 at 8:12am:

yes but the idiots from the libs will tell us it's for our own good Cheesy

bullshit...

and they are not the only company either... there's hundreds of them that are not paying their way...

like in Armchairs post - get rid of all tax and put 2% on everything.... they can't escape paying tax then... no one can.. and it shares the load equally..

http://www.2gb.com/audioplayer/138551

no bullshit about it ... which party let newscorp off a $882 million tax bill? Cheesy

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Our esteemed leader:
I hope that bitch who was running their brothels for them gets raped with a cactus.

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Its time

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Re: Chevron paid $240 tax on 1.7 billion revenue
Reply #29 - Nov 10^th, 2015 at 8:46pm

John Smith wrote on Nov 10^th, 2015 at 8:22pm:

President Elect, The Mechanic wrote on Nov 10^th, 2015 at 4:54pm:

John Smith wrote on Nov 10^th, 2015 at 8:12am:

yes but the idiots from the libs will tell us it's for our own good Cheesy

bullshit...

and they are not the only company either... there's hundreds of them that are not paying their way...

like in Armchairs post - get rid of all tax and put 2% on everything.... they can't escape paying tax then... no one can.. and it shares the load equally..

http://www.2gb.com/audioplayer/138551

no bullshit about it ... which party let newscorp off a $882 million tax bill? Cheesy

Didnt waste anytime on that one

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