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The Minerals Council of Australia (MCA) said the mid-year economic and fiscal outlook (MYEFO) showed members were paying more than their fair share of tax.

Higher mining profits have contributed to a $3.2 billion increase in projected corporate tax receipts in 2017-18.

Tax gets the better of profits in the recovery

The MYEFO numbers again demonstrated the size of the mining industry’s contribution to the Australian economy and were a wake-up call for those that claim the mining sector doesn’t pay its fair share of tax, said MCA interim chief executive David Byers.

The Australian minerals industry paid $165 billion in Federal company tax and state and territory royalties in the decade to 2014-15, and the mining sector contributed 19 per cent of all corporate tax collected in 2014-15, Mr Byers said.

“The Minerals Council also welcomes the Government’s continued advocacy for additional cuts in the corporate tax rate,” he said.

“Our company tax rate is now the highest in the OECD, and too high for a capital-hungry nation which needs to encourage business investment.”

“The mining sector could perform at its best – generating additional jobs and wealth and improving the budget bottom line – if Australia’s uncompetitive corporate tax rate was reduced.”

In 2010, the MCA reportedly spent more than $17 million in a campaign to stop Kevin Rudd’s super profits tax. He lost   leadership of the then ALP government to Julia Gillard not long after.