Minerals industry digs deep for tax payments

Thursday's Gossan. Image: Stavely Minerals.

The Australian mining industry has provided more tax than all other industry averages, according to a KPMG survey.

Australia’s mining industry has a 44 per cent tax take rate¬†survey, which was conducted by KPMG on behalf of Minerals Council of Australia (MCA).

The MCA said the above average tax payments support stronger communities, teachers, nurses, police and infrastructure projects.

Over $11.33 billion in tax was paid by the minerals industry’s 14 entities in the top 30 taxpayers, according to the most recent ATO tax payment data.

This represents close to 22 per cent of the total tax paid by 2200 large entities, the ATO data revealed.

The minerals industry also provides large amounts of payroll tax, fringe benefits tax, land tax, license fees and local government rates.

On top of that, the mineral industry has also paid an estimated $12 billion in royalties to state and territory governments in 2017-18.

The mining industry has been a key player in contributing to public finances, even when the sector faces low profitability, paying with revenue instead of profit.

The industry tax take has remained around 44 per cent for the last seven years.

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