Company tax cuts look to be delayed
Malcolm Turnbull promised a vote on tax cuts for big businesses this week but it's looking increasingly unlikely the bill will go to the Senate.
After months of public argument, the company tax cuts were expected to go to a vote in the Senate later this week before the parliament rises for the winter break.
The prime minister said on Friday the tax cuts would go to a vote but they now look unlikely to pass before a set of by-elections on July 28.
Mr Turnbull has only convinced four of the 10 crossbench senators to back the tax cuts - he needs eight.
"The case for reducing company tax is a case for Australian workers," Mr Turnbull told parliament on Monday.
He wants the upper house to cut the corporate tax rate to 25 per cent, but so far the coalition has only secured a cut for businesses with a turnover of up to $50 million.
Pauline Hanson's One Nation remains opposed to cutting taxes for multinational companies, and denies an upcoming Queensland by-election is a factor.
"For people to say this is tied to the Longman by-election is a load of BS," Senator Hanson told ABC radio.
Senator Hanson wants a crackdown on multinational tax avoidance and an end to tax deductions for firms using overseas call centres.
"I have no intentions of actually backing the corporate tax cuts," she said.
She said meaningful action on forcing multinational companies to pay more tax could change her position, but she doesn't believe the government is interested in acting on the issue.
Mr Turnbull said Australia had done more than any other country to crack down on tax avoidance, with more than $7 billion already recovered.
Without the votes of the One Nation senators, the legislation looks doomed - even if the policy isn't.
"That's the policy we're taking to the next election," Deputy Prime Minister Michael McCormack told ABC radio on Monday.
The government fell short two votes when it tried to get the tax plan passed just before Easter.
Since then Senator Hanson reneged on a previous deal with the government to support the cuts.
The two Centre Alliance senators haven't budged in months, neither has independent Tim Storer, while Derryn Hinch wants the turnover threshold set at $500 million.
Labor and the Greens remain opposed to the corporate tax cuts.
