I’ve drawn attention to the way in which multinationals are avoiding paying tax in New Zealand. After some prevarication, Peter Dunne ordered up a report from officials on the way similar issues are being tackled abroad. Good.
The topic is running hot in the UK. The Guardian’s editorial on Monday was a call to action. The Australian Assistant Treasurer, David Bradbury, last month announced a range of measures to address tax avoidance. Bradbury’s speech is well worth a read. It explains the issue in plain English and how Australia is tackling it.
Quantifying the size of avoidance in New Zealand needs to be a priority for the Revenue Minister. Australia have pulled an expert group together to advise their Treasury on the scope and extent of the problem in their country. New Zealand needs to do the same. Quickly.