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flag Australia proposes 20% corporate tax for most firms, 28% for large ones, and a 5% cash flow tax to boost growth.

flag Australia’s Productivity Commission has proposed lowering the corporate tax rate to 20% for most businesses and introducing a 5% net cash flow tax to boost investment and economic growth. flag Larger firms above $1 billion in turnover would pay 28%. flag The reforms aim to make more projects profitable, particularly for foreign investors who don’t benefit from Australia’s dividend imputation system. flag While the changes could increase GDP by 0.2% long-term, they may reduce gross national income by 0.3% unless the cash flow tax captures more revenue from multinational firms. flag The government is reviewing the recommendations, with business groups urging caution.

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