The submission made by Per Capita, an Australian progressive thinktank, to the Standing Committee on Economics inquiry.

The recent decision by the Full Federal Court in Chevron Australia Holdings Pty Ltd v Commissioner of Taxation [2017] FCAFC 62 is a watershed, not only in Australia but internationally. It provides important insights into how the arm’s length principle takes account of the economic, market and business conditions in which a multinational has to...

State and territory governments can do more to improve the lives of Australians. The State Orange Book 2018 shows that outcomes vary between states across a broad range of areas. In many cases, states are different because their governments adopted better policies.

Evidence provided to this inquiry, extensive debate in the Senate chamber, and wider discourse in the public arena, did not clearly articulate how a reduction in the corporate tax rate would directly lead to higher wages and better economic outcomes for the majority of the Australian population.

This paper examines what has happened to government revenue in the last twenty years, the state of government revenue today and how we can reform our tax system to make it more efficient and equitable.