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|CANBERRA Women's Shaquil Barrett Jersey , Oct. 16 (Xinhua) -- Australia will have one of the highest company tax rates among developed nations if it is not cut, the Business Council of Australia (BCA) warned on Monday.
Australia's business tax rate is 30 percent, fifth highest among member nations of the Organisation for Economic Cooperation and Development (OECD).
In a statement issued on Monday, Jennifer Westacott, chief executive officer (CEO) of the BCA Women's Shelby Harris Jersey , said that Australia would rank the third-highest in the OECD when the governments of France and the United States upheld promises to slash the company tax rates.
"As other countries have slashed their company tax rates to improve competitiveness, Australia has been left to languish with a rate that has been unchanged for 16 years," Westacott said in a statement on Monday.
"The average company tax rate across the OECD is 24 percent and falling. The average across Asia is 21 percent.
"This global action should be a wake-up call for the Senate that Australia cannot afford to stand still, since every company tax reduction overseas is a de facto tax increase on Australia."
Westacott's comments have increased pressure on Treasurer Scott Morrison to secure a business tax cut.
Prime Minister Malcolm Turnbull has proposed a 10-year tax reduction but those changes have stalled in the Senate where the government does not hold a majority.
However, Westacott said that the proposed changes did not go far enough.
"The proposal currently before the parliament to lower the rate to 25 percent Women's Justin Simmons Jersey , will take a decade to be phased in, and will still leave Australian above the OECD average and significantly higher than other countries with whom we compete for investment and jobs," she said.
"Australia needs a pro-growth, competitive tax system for all businesses, big and small Women's Jake Butt Jersey , to stimulate investment, raise productivity and increase the real wages of working Australians."
An Intel logo at the Intel Museum in Santa Clara, California in file photo. The EU’s top court yesterday ordered a lower court to reconsider its rejection of an appeal by US chip giant Intel against one of the EU’s biggest-ever fines for breaking competition rules. The decision by the European Court of Justice keeps alive one of the longest running EU competition court cases in history that could impact similar cases against Google and chipmaker Qualcomm. — AFP
EUROPE’S top judges dealt a rare blow to European Union antitrust regulators yesterday by sending their case against chipmaker Intel back to a lower court for an appeal.
In a move that may have ramifications for the EU watchdog’s cases against Qualcomm and Google, the EU Court of Justice said a court which had upheld a 1 billion euro (US$1.3 billion) European Commission fine against Intel should re-examine the US company’s appeal.
“The case is referred back to the General Court in order for it to examine the arguments put forward by Intel concerning the capacity of the rebates at issue to restrict competition,” the ECJ said in a statement.
The commission handed down the fine in 2009 Women's Chad Kelly Jersey , a record at the time, saying that Intel had tried to block rival Advanced Micro Devices by giving rebates to PC makers Dell, Hewlett-Packard Co, NEC and Lenovo for buying most of their computer chips from Intel.
The ruling is good news for companies in the EU regulator’s crosshairs, Foad Hoseinian at law firm Freshfields said.
“This is a setback for the commission as it will be more closely scrutinized by the courts in the future. There is now a clear obligation to look at effects-based arguments Women's Brendan Langley Jersey ,” he said.
Regulators have generally frowned upon rebates, especially those offered by dominant companies, based on the theory that they are anti-competitive in nature, while firms say that enforcers have to prove that they have anti-competitive effects before sanctioning them.
“Companies will be more confident when they go to the commission and more corporations will have the appetite to take the commission to court on effects-based arguments,” Hoseinian said.
The commission said it would study the judgment carefully and that it was up to the General Court to review its decision. Intel said it was reviewing the court ruling.
The ruling raises the bar for the regulator when it comes to proving wrongdoing Women's Carlos Henderson Jersey , said Rein Wesseling, a partner at law firm Stibbe.
“It forces the commission to be as economic in its approach in other cases as it did in Intel. This is encouraging for Qualcomm and Google,” he said.
Google, which was hit with a landmark 2.42 billion euro fine in June over its Shopping service, is under fire over its Android smartphone operating system and online search advertising. Google has denied any wrongdoing.
US chipmaker Qualcomm Women's Demarcus Walker Jersey , meanwhile, faces EU charges of using anti-competitive methods to squeeze out British phone software maker Icera and of making illegal payments to a major customer for exclusively using its chipsets since 2011.
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