On Tuesday evening, the Senate Economics References Committee tabled its report into Financial and Tax Practices of For-Profit Aged Care providers, which Coalition MPs sitting on the committee called a “Trojan horse” and a “waste of time”.
The committee heard that aged care providers were allegedly engaging in tax avoidance and tax minimisation, and has recommended that the sector be subject to more rigorous transparency and reporting requirements.
The alleged tax avoidance — which was fiercely rejected by the companies themselves and which has also been rejected in a dissenting report from Coalition committee members — was detailed in a recent report by the Tax Justice Network (TJN).
TJN examined the largest for-profit aged facilities — Bupa, Opal, Regis, Estia, Japara and Allity.
It said these top six providers received over $2.17 billion in annual taxpayer subsidies and made substantial additional operating profits, yet only paid $154 million in tax in the 2015-2016 financial year.Read more