reneging again? enter damage control

From bloomberg this morning



Bloomberg News
Australias Rudd May Compromise on Resources Tax, Review Says

May 5 (Bloombttterg) -- Australian Prime Minister Kevin Rudd is willing to consider a compromise with mining companies on his A$9 billion federal resource rent tax, the Australian Financial Review reported.

The prime minister hasnt ruled out compromising on the proposed 40 percent rate of the tax, even though Resources Minister Martin Ferguson favors maintaining it, the newspaper said.

Australia announced this week that it plans to impose the 40 percent tax on the profits of resource companies to pay for infrastructure, retirement and company levy changes as part of a pre-election overhaul of the nations tax system.

To contact the reporter on this story: Nichola Saminather in Sydney at [email protected]