Australia Tax Ideas Burden Business, Create Risk, Tax Pros Say

An Australian proposal for a 5% cash flow tax on company profits would be burdensome and should be dismissed as merely “experimental.”

Multiple countries have mulled, and dismissed, the idea of a cash flow tax because it risks worsening cost-of-living and penalizing productive companies and industries, tax professionals said.

“While some businesses may benefit under this proposal, it risks all Australian consumers and businesses paying more for the things they buy every day,” said a statement signed by over 20 groups, including the Business Council of Australia, Mining Australia and Chartered Accountants of Australia and New Zealand.

Australia’s independent Productivity ...