23 October 2012
Professor Michael Dirkis says the government's decision to make companies pay their tax monthly rather than quarterly would hit business cashflows.
Speaking to The Australian, Professor Dirkis says companies currently gear themselves to a particular point in time to make sure they have the money to pay their tax each quarter."If that initial point is changed and it moves from quarterly to monthly, then that is going to
create a dent in their cashflow.
"It will be a cashflow issue and I think, depending where the business is located, in some cases it could be the straw that breaks the camel's back, so to speak."
He says the compliance costs from monthly tax payments would be higher, on a relative basis, for smaller companies.View the entire article - Monthly tax an untimely burden on companies, critics say - The Australian
Contact: Greg Sherington
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