PETROLEUM INDUSTRY AND TRADE – TAXATION – AUSTRALIA

Super-profit tax already here: Exxon

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Original article by Perry Williams
The Australian – Page: 15 & 19 : 16-Sep-22

ExxonMobil’s Australian unit states it paid $740 million in petroleum resource rent tax (PRRT) for the year ending June, compared to $423 million for the previous year. Exxon Mobil contends that the PRRT amounts to a windfall tax, meaning that there is no need for a super-profits tax to be applied to the oil and gas sector, as the Greens and unions have called for. ExxonMobil announced in May that it would resume paying corporate tax for the first time in nearly 10 years, and it now states that it will pay $750 million in corporate tax for the year ending 31 December.

CORPORATES
EXXONMOBIL AUSTRALIA PTY LTD

PRRT changes may be leverage on One Nation

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Original article by Phillip Coorey, Angela Macdonald-Smith
The Australian Financial Review – Page: 3 : 18-May-18

The Federal Government requires the support of at least one additional Senate crossbencher for its company tax package. Proposed changes to the Petroleum Resources Rent Tax were absent from the May 2018 Budget, and sources have confirmed that this was partially to provide the government with a bargaining tool amid concerns that One Nation may back down on its support for the tax cuts. The changes to the PRRT would only affect future oil and gas projects, but industry players want the reforms to be enacted before the next election in case Labor wins and opts to subject existing projects to the new regime.

CORPORATES
ONE NATION PARTY

$238bn tax shield cushions oil giants

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Original article by Ben Butler
The Australian – Page: 19 & 22 : 13-Apr-17

Data from the Australian Taxation Office shows that Petroleum Resource Rent Tax revenue from oil and gas companies fell to just $A845m in 2015-16, compared with $A1.79bn in 2013-14. Meanwhile, the industry claimed a total of $A238bn in tax deductions for exploration expenditure under carry-forward regulations in 2015-16, compared with just $A970 million in 2003-04. The PRRT is currently the subject of two separate reviews, although oil and gas producers have warned that changes to the tax may deter future investment in Australia.

CORPORATES
AUSTRALIAN TAXATION OFFICE, BHP BILLITON LIMITED – ASX BHP, WOODSIDE PETROLEUM LIMITED – ASX WPL, CHEVRON CORPORATION, GORGON PTY LTD, AUSTRALIA. DEPT OF THE TREASURY, NICK XENOPHON TEAM, FEDERAL COURT OF AUSTRALIA

BP joins calls to raise GST in line with OECD

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Original article by Peter Ker
The Australian Financial Review – Page: 20 : 17-Jun-15

BP Australia COO Andy Holmes notes that the average GST rate among OECD countries is 18 per cent. He argues that Australia should lift its GST rate from 10 per cent to 15 per cent, and broaden the scope of the consumption tax. BP’s submission on the Federal Government’s tax white paper also calls for changes to the stamp duty regime and the petroleum resource rent tax. Rio Tinto also favours stamp duty reform, arguing that it deters investment in Australia.

CORPORATES
BP AUSTRALIA LIMITED, BP PLC, RIO TINTO LIMITED – ASX RIO, ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT, PROPERTY COUNCIL OF AUSTRALIA LIMITED

Ai Group seeks answers on industry tax

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Original article by Joanna Mather
The Australian Financial Review – Page: 6 : 30-Sep-14

The Australian Industry Group (Ai) wants an examination of the petroleum resource rent tax. Peter Burn, of Ai, said that the group does not support a gas reservation policy, but it is concerned about the effect of rising gas prices on industry. He said that the Federal Government’s tax white paper should investigate whether the petroleum tax was effectively distributing the wealth from natural resources to the community

CORPORATES
THE AUSTRALIAN INDUSTRY GROUP, AUSTRALIAN WORKERS’ UNION-FEDERATION OF INDUSTRIAL, MANUFACTURING AND ENGINEERING EMPLOYEES, MANUFACTURING AUSTRALIA LIMITED, AUSTRALIAN PETROLEUM PRODUCTION AND EXPLORATION ASSOCIATION LIMITED