These crappy mining investments will be dependent on what happens on the DOW over night, not a tax. The tax lets the country pay of its debt that saved it from recession, mass unemployment and a potential property drop of 20% over the last couple of years. It lets most companies lower their tax rate to 28%. It lets people retire on more income, and lets large mining companies offset expenditure at 40%. Exploration is written off at 40%.
It grows the country etc. You know, gives back a bit from the 1000% gains in commodity prices. Christ knows shareholders aren't getting it now. Let me see, how much money did our beloved men at the top of OZL get while they comprehensively screwed our company and sold half to foreign ownership when the s#it hit the fan? Just think, now we wont be so bitter about the next Zinc boom because they'll be paying our country 40% above the bond rate! :)
If its so bad for the country, why did treasury recommend it? They have a little bit of experience when it comes to things like this.
Let's see how many directors will be announcing the axing of projects and then there may be something to debate. Until then, it's a very large puff of hot air. Australian support for director's wealth in the face of share price destruction is one of the most profoundly confusing attributes of this nation.
OZL Price at posting:
$10.25 Sentiment: Hold Disclosure: Held
