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...but surely creating a tax that *costs* the government revenue is a sign of gross incompetence?
For years now, the Australian Labor government has been touting its Minerals Resource Revenue Tax (MRRT), saying that those dastardly miners should be bloody well paying more tax.
Only, the way the tax was legislated means that not only has the tax not reaped any revenue in the first three months of operation, many mining companies are getting *credits* for this lean time of moderately low commodity prices, which means that they get to offset their future tax liabilities.
So, essentially, the government has spent heaps of dosh to set up an administrative structure to manage a tax that will not produce any revenue for the foreseeable future.
Link for more detail.
For years now, the Australian Labor government has been touting its Minerals Resource Revenue Tax (MRRT), saying that those dastardly miners should be bloody well paying more tax.
Only, the way the tax was legislated means that not only has the tax not reaped any revenue in the first three months of operation, many mining companies are getting *credits* for this lean time of moderately low commodity prices, which means that they get to offset their future tax liabilities.
So, essentially, the government has spent heaps of dosh to set up an administrative structure to manage a tax that will not produce any revenue for the foreseeable future.
Link for more detail.
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