Company tax open letter: prominent Australians ask Malcolm Turnbull not to cut it

19 Apr 2016 3:39 PM | Deleted user

Fifty prominent Australians, including the former governor of the Reserve Bank of Australia and the president of the Australian Council of Trade Unions, have written an open letter to Malcolm Turnbull asking him not to cut company tax and to make fairness the cornerstone of the upcoming federal budget.


“Cutting programs which support needy Australians to give more tax benefits to companies is not fair,” the letter, which appeared in newspapers on Wednesday, read. “A serious tax reform package designed to be fair should address as a priority the current generous tax concessions to the top end of town.”


“The pursuit of equity and fairness must lie at the heart of our national goals,” it said. “Collecting more tax, more equitably, will make Australia a better place to live and work.”


Senior members of the government have signalled that cutting company taxes remains a live option for the 3 May budget.


Executive director of the Australia Institute, Ben Oquist, warned that option would be “fiscally irresponsible”.


“Proponents of a cut to the company tax rate continue to promote claims of long-term, trickle-down benefits without identifying the immediate impact to revenue and in-turn essential services,” he said. “In fact, a five point cut in the company tax rate would deliver a projected $27 billion windfall over ten years for the four major banks alone. This simply makes no economic sense and would put Australia’s revenue base at risk.”


Former governor of the RBA Bernie Fraser told ABC Radio the “trickle down” theory of tax cuts is “discredited”.


“It doesn’t work and history shows it doesn’t work that way,” he said. “It’s even more untrue and unfair if those company tax cuts, if they were to be made, were made at the expense of cutting back on some necessary service spending. That would be the unkindest cut of all.”


He pointed to the lowering of company tax over the last few decades, saying it has not had an impact on making society more equitable.


“What it’s done is increase the profit share, and that’s increased over this period, at the expense of the income share,” Fraser said.


The national president of the ACTU, Ged Kearney, said Australians want the government to address corporate tax avoidance.


“Australians are sick of being told they must live within their means and accept cuts to services while our government allows big business to skirt their responsibilities,” she said. “The ACTU will run an aggressive campaign this election to make sure Australians realise the truth about corporate tax because it’s robbing us of the revenue needed to fund hospitals, build new schools and invest in infrastructure.”


She pointed to an online Essential poll of 1,010 people that found only 9% think the current tax arrangements are working. Nearly nine out of ten respondents supported the notion of a national anti-corruption body that oversees matters of tax avoidance, similar to New South Wales’

Independent Commission Against Corruption.


Other signatories to the letter include the president of the Uniting Church, Stuart McMillan, Nobel prize winner and former Australian of the year, Peter Doherty, and a number of prominent academics.


This article was originally sourced from The Guardian and was written by Shalailah Medhora. 

Strengthening Trans-Tasman Connections: AuSAE and Tourism New Zealand Business Events Renew Partnership

Association professionals across Australia and New Zealand have even more reason to explore trans-Tasman opportunities. AuSAE is proud to announce the renewal of its longstanding partnership with Tourism New Zealand Business Events, celebrating 11 years of collaboration.

For over a decade, this partnership has strengthened connections between the two countries, helping associations expand networks, share knowledge, and deliver world-class events.

Toni Brearley, CAE, Chief Executive Officer at AuSAE, said:

“Our partnership with Tourism New Zealand Business Events has opened doors for association leaders to plan unforgettable events and connect with peers across the Tasman. Together, we’ve created opportunities, shared knowledge, and elevated the experiences of our members and their delegates. This partnership reinforces our commitment to fostering strong trans-Tasman collaborations, helping associations innovate, grow, and deliver outstanding value to their members.”

Helen Bambry, Business Events Manager at Tourism New Zealand, added:

“Partnering with AuSAE means we can directly support association professionals in bringing their next international business event to New Zealand – offering assistance, funding, and support to ensure exceptional experiences for both organisers and delegates.”

Watch the Tourism New Zealand Business Events video

What this partnership means for you

For Australian associations:

  • Receive expert guidance and support to bring conferences or member events to New Zealand.
  • Access funding assistance through Tourism New Zealand Business Events.
  • Expand your network and build partnerships with New Zealand peers and industry leaders.
  • Deliver international experiences for members and delegates just across the Tasman.

For New Zealand associations:

  • Strengthen professional connections with Australian association leaders through AuSAE’s network.
  • Share expertise and collaborate on professional development, governance, and member engagement initiatives, and more.
  • Gain visibility within the broader association community in Australia and New Zealand.
  • Access opportunities to host international association events and delegates in New Zealand, boosting local engagement and knowledge exchange.

About AuSAE:

The home for association professionals, the Australasian Society of Association Executives (AuSAE) is the leading - and only not-for-profit, member-based - organisation supporting association professionals in Australia and New Zealand. For 70 years, AuSAE has been a trusted partner for those working in associations, providing professional development, support, and networking to help association leaders achieve organisational goals, advance their careers, and strengthen the wider sector.

About Tourism New Zealand Business Events:

Tourism New Zealand Business Events provides expert guidance, funding, and support to attract conferences, incentives and corporate events to New Zealand.

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For more information about AuSAE, please contact Toni Brearley, CAE:
Toni Brearley, CAE
Chief Executive Officer, AuSAE
E: toni@ausae.org.au
T: + 61 458 000 155

To apply for funding and support to host a conference in New Zealand contact Helen Bambry:
Helen Bambry
Business Events Manager, Tourism New Zealand
E: Helen.Bambry@tnz.govt.nz
T: +61 415 933 325


The Australasian Society of Association Executives

Contact us:

Email: info@ausae.org.au
Phone: 1300 764 576 (within Australia)
Phone: +61 7 3268 7955 (outside Australia)
Address: Unit 6, 26 Navigator Place, Hendra QLD 4011, Australia