Paying their fair share of tax

Ensuring everyone contributes to funding Australia’s vital services and infrastructure

Everyone needs to comply with our tax system

By paying their fair share of tax, all individuals and businesses help fund the vital services and infrastructure needed to support the Australian community.

This is why the Government is introducing a range of measures to help ensure the sustainability of our tax system.

Continuing the fight against multinational tax avoidance

The Government is stamping out hybrid tax abuse by multinational banks and insurance companies to prevent the exploitation of tax differences between countries. The Government is also toughening the Multinational Anti-Avoidance Law by extending it to corporate structures involving foreign partnerships and foreign trusts.

Tackling the black economy

The Government is extending the taxable payments reporting system to contractors in the courier and cleaning industries and also banning technology that allows businesses to falsify sales records to avoid paying tax.

Cracking down on serious financial and organised crime groups

The Government is pursuing and confronting serious financial and organised crime groups to remove any wealth generated by criminal activities and return vital funding to the Australian community.

Strengthening the integrity of Capital Gains Tax rules for foreign investors

The Government is introducing tougher rules on foreign investment in real estate to ensure foreign investors meet their Capital Gains Tax (CGT) obligations. The main residence CGT exemption for foreign and temporary tax residents that own Australian real estate will be removed. To reduce the avoidance of foreign residents’ CGT in Australia, the Government will bolster the withholding regime.

Clamping down on GST avoidance and abuse of small business CGT concessions

The Government is introducing a host of specific tax integrity measures to clamp down on those who think they’re above tax law, including tax fraud in the precious metals industry, GST avoidance in the property sector and ensuring small business CGT concessions are not abused.

Better targeting tax arrangements for residential property investment

The Government will:

• Disallow deductions for travel expenses related to owning a residential investment property.
• Better target plant and equipment depreciation deductions to those expenses actually incurred by investors.