S
Stiffy
Guest
"Rupert Murdoch's media empire in the US has siphoned off $4.5 billion of cash and shares from his Australian media businesses in the past two years, virtually tax free.
According to calculations by University of NSW accounting academic, Jeffrey Knapp, over the past 10 years, Mr Murdoch's companies here have paid income tax equivalent to a rate of 4.8 per cent on $6.8 billion in operating cash flows, or just 10 per cent of operating profits." .............
"Fairfax also sought the views of University of Sydney Professor Emeritus Bob Walker and forensic accountant John Shanahan, author of Shanahan & Shanahan's Guide to Accounting Standards. Both expressed concerns about aspects of the News Australia accounting practices.
News Corp ceased producing "general purpose" financial reports in 2006. Asked whether News should be producing general purpose accounts, Professor Walker said: "It's plainly anomalous that local subsidiaries of major multinational corporations can themselves decide they are not 'reporting entities' – and hence that they don't have to comply with all Australian accounting standards.
"The test is whether there are any users who might rely on published financial statements to make, or to evaluate, economic decisions. If directors say that some large proprietary companies are not 'reporting entities', they are ignoring the legitimate interests of employees, employees' representatives, creditors, and the Australian Tax Office.
The Corporations Act should address this shortcoming."
http://www.brisbanetimes.com.au/bus...siness-virtually-taxfree-20150405-1meu0l.html
According to calculations by University of NSW accounting academic, Jeffrey Knapp, over the past 10 years, Mr Murdoch's companies here have paid income tax equivalent to a rate of 4.8 per cent on $6.8 billion in operating cash flows, or just 10 per cent of operating profits." .............
"Fairfax also sought the views of University of Sydney Professor Emeritus Bob Walker and forensic accountant John Shanahan, author of Shanahan & Shanahan's Guide to Accounting Standards. Both expressed concerns about aspects of the News Australia accounting practices.
News Corp ceased producing "general purpose" financial reports in 2006. Asked whether News should be producing general purpose accounts, Professor Walker said: "It's plainly anomalous that local subsidiaries of major multinational corporations can themselves decide they are not 'reporting entities' – and hence that they don't have to comply with all Australian accounting standards.
"The test is whether there are any users who might rely on published financial statements to make, or to evaluate, economic decisions. If directors say that some large proprietary companies are not 'reporting entities', they are ignoring the legitimate interests of employees, employees' representatives, creditors, and the Australian Tax Office.
The Corporations Act should address this shortcoming."
http://www.brisbanetimes.com.au/bus...siness-virtually-taxfree-20150405-1meu0l.html