Ms Julie Bishop (Curtin, Liberal Party, Deputy Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Prime Minister. I refer the Prime Minister to the letter dated 17 May 2010 from BHP Billiton Chairman Mr Jac Nasser AO to shareholders and released to the Australian Stock Exchange. Mr Nasser informed shareholders that last year BHP Billiton paid $6.3 billion in taxes and royalties to Australian governments and that its total effective tax rate was 43 per cent. Given that a public company chairman has a statutory obligation to accurately inform shareholders, does the Prime Minister accept as fact Mr Nasser’s statement regarding BHP Billiton’s level of taxation?

Kevin Rudd (Griffith, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

I thank the member for Curtin for her new-found interest in accuracy. I refer to the statements which the honourable member referred to. As I said in response to an earlier question, when we are in a process of consultation with the mining industry about a new tax, a range of corporate executives will make a range of statements about that proposition. I also say to the member for Curtin that there has been interesting commentary about those remarks as well, including from former federal leader of the Liberal Party John Hewson, who has described the reaction more generally to the RSPT by certain parts of the mining industry as ‘hysterical’. Dr Hewson said:

I must say the positions taken by people, whether it is ‘Twiggy’ Forrest or Jac Nasser—I mean I have these waking up nightmares of Mr Nasser like he used to attack us over tariff protection for the car industry 20 years ago.

That is what Dr Hewson said. I do not necessarily endorse what Dr Hewson said at all, but I do draw it to honourable members’ attention.

I also draw their attention to the fact that Dr Hewson, a former leader of the Liberal Party, has indicated that, in policy terms, these policies are right—‘This is making sure we get the settings right for resources rent tax.’ He goes on:

I think the resources rent tax has always been on the agenda for serious debate since the middle 1970s. We never got it right. This is a chance to get it right and in particular to deal with the state royalties at the same time as you deal with the federal tax.

And so say a large number of other contributors to this debate. I say to the member for Curtin, therefore: reflect carefully on what that former federal leader of the Liberal Party has had to say on this matter, what the former state leader of the New South Wales Liberal Party Mr Brogden has had to say on this matter and even what the WA Premier has had to say on this matter in terms of obtaining a better return for the Australian people and for small business, better super for working families, better infrastructure for the Australian economy and a decent tax break for small business in terms of the $5,000 tax break.

Ms Julie Bishop (Curtin, Liberal Party, Deputy Leader of the Opposition) Share this | Link to this | Hansard source

Mr Speaker, I seek leave to table a notice to the Australian Stock Exchange which was filed about an hour ago, confirming the 43 per cent tax rate paid by BHP Billiton last year.

Leave not granted.

Mr Speaker, I seek leave to table the letter from BHP of 17 May 2010, confirming that BHP paid an effective tax rate of 43 per cent.

Leave not granted.