Tax talks to begin

The Federal Government is expecting intense discussions as it look to start its mining tax consultations next week.

The Federal Government is expecting intense discussions as it look to start its mining tax consultations next week.

Federal minister for resources and energy Martin Ferguson said he is preparing for some heated exchanges ahead of the Mineral Resources Rent Tax (MRRT) talks.

Kicking off in Perth next week, Ferguson has stated that he intends to attend at least a few meetings.

“For the policy transition group obviously Perth is very important because two of the key resources to be covered by the new tax are petroleum in the established Petroleum Resource Rent Tax system but also its application to iron ore and to a lesser extent in Western Australia the coal industry,” he said.

However, concerns have been raised by the Opposition that the industry consultations are not genuine.

"[The mining industry is] concerned because the Government hasn’t been honest about how much money they expect to derive from this tax," deputy opposition leader Julie Bishop said.

"There have been various figures thrown about from $24 billion over two years to $10 billion over two years down to two and a half billion over two years," she added.

The consultations will start in Perth late next week, and then carry on in Brisbane, Adelaide, Melbourne and Sydney, with additional sessions held as needed.

An issues paper will be made public to aid in development of the MRRT.
 

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