Forced offshore, page-5

" I had posted that the LNP would be embarassed into supporting this new industry. It seems that I was wrong."

Sadly Mega, the LNP would rather support those that presumably support them,like car lease companies,than Australian technical innovation.

Car leasing tax break a yardstick for government's fiscal integrity

Among the political donations, a $250,000 gift to the Liberal Party from the Australian Salary Packaging Industry Association stood out.

Moving right along, there is item D20 of the tax expenditures statement: $750 million this financial year for "application of statutory formula to value car benefits".
And $760 million next financial year.
And $830 million the following year.
And $940 million the year after.
It adds up to a rather large amount of money.
And it means the vast majority of Australians are subsidising a rather small minority's ability to buy and run a new car more cheaply than the rest of us, for no better reason than they can through an accident of bad tax policy.
Treasury wanted to end this stupidity years ago, but it was only in Labor's last budget that a government was desperate enough for deficit reduction to take on the vested interests by scrapping the lurk.
And, in the nature of our deeply adversarial politics, the Liberal Party immediately promised to scrap the scrapping. Apparently it would be a disaster for the car industry.
It's no surprise that it was in the best interests of the Australian Salary Packaging Industry Association that Labor – and the statutory formula change – be defeated at the September election.
Cue that $250,000 donation to the Liberal Party.
People voted. The government changed. The rort was reinstated.
In my opinion, the leaners who make a living out of exploiting tax loopholes appear to have invested wisely.
The case is such blatantly bad policy, such indefensible favouritism of one small group exploiting a faulty tax system, such a waste of money when government debt is supposed to be a problem, that it has become my yardstick of government integrity.

http://www.smh.com.au/business/the-...rnments-fiscal-integrity-20150217-13hccz.html

Raider