Footnotes

Chapter 1

[1]        See Senate Standing Order 25(18).

[2]        FIRB, Australia's Foreign Investment Policy, January 2012, p. 6.

[3]        DAFF, Submission 1 (attachment), p. vi.

[4]        Mr Tom McKeon, Chief Executive Officer, Hassad Australia Pty Ltd, Committee Hansard, 16 November 2011, p. 38. Hassad Australia stated that its operations have since moved to a commercial basis.

Chapter 2 - Tax arrangements for foreign investment in Australian agriculture

[1]        ATO, answer to questions on notice, 9 May 2012, (received 5 June 2012), emphasis in original.

[2]        ATO, answer to questions on notice, 9 May 2012, (received 5 June 2012).

[3]        Bernard Pulle, Tax Laws Amendment (Cross-Border Transfer Pricing) Bill (No. 1) 2012, Bills Digest No. 160, 2011–12, Parliamentary Library, 19 June 2012, p. 4.

[4]        Mr Stuart Hamilton, Assistant Deputy Commissioner, Large Business and International, ATO, Committee Hansard, 9 May 2012, p 10.

[5]        The Treasury, Submission 21, p. 5, to the Senate Economics Legislation Committee, Tax Laws Amendment (Cross-Border Transfer Pricing) Bill (No. 1) 2012 [Provisions], 14 August 2012.

[6]        Mr Brian Wilson, Chair, FIRB, Committee Hansard, 16 October 2012, p. 13.

[7]        Mr Stuart Hamilton, Assistant Deputy Commissioner, Large Business and International, ATO, Committee Hansard, 9 May 2012, p 10. The Tax Commissioner versus SNF Australia Pty Ltd 'case concerned whether the taxpayer paid more than the arm's length price for products acquired from overseas related parties so that the Commissioner could apply the transfer pricing rules to adjust the purchase price for income tax purposes.' For more information see: http://law.ato.gov.au/atolaw/view.htm?DocID=LIT/ICD/VID731of2010/00001 (accessed 22 November 2012).

[8]        Tabled document, 16 August 2012, correspondence from the ATO to Senator Heffernan dated 22 June 2012. See: https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Rural_and_Regional_Affairs_and_Transport/Completed%20inquiries/2012-13/firb2011/submissions. In following up with an answer to a question on notice, the ATO also stated that it 'has never seen a sovereign entity, with Australian farm assets, seeking to avoid Australia's tax system by purporting to export its produce for non commercial purposes.' ATO, answer to question on notice, 16 August 2012, (received 6 September 2012).

[9]        Mr Michael O'Neill, Assistant Deputy Commissioner, Large Business and International, ATO, Committee Hansard, 16 August 2012, p. 6.

[10]      ATO, answer to question on notice, 16 August 2012, (received 6 September 2012).

[11]      ATO, Tax Ruling TR 97/11, p. 5. http://law.ato.gov.au/atolaw/view.htm?docid=TXR/TR9711/nat/ato/00001 (accessed 15 November 2012).

[12]      Mr Stuart Hamilton, Assistant Deputy Commissioner, Large Business and International, ATO, Committee Hansard, 9 May 2012, p. 12.

[13]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, pp 18–19.

[14]      For example see Ben Butler and Georgia Wilkins, "How savvy multinational curb their tax bills", Sydney Morning Herald, 17 November 2012, (online version accessed 26 November 2012).

[15]      The Hon David Bradbury MP, Assistant Treasurer and Minister Assisting for Deregulation,  "Progressing Reforms to Australia's Transfer Pricing Rules", Media Release No 144, 22 November 2012.

[16]      ATO, answer to question on notice, 9 May 2012, (received 5 June 2012).

[17]      ATO, answer to question on notice, 9 May 2012, (received 5 June 2012).

[18]      Mr Michael O'Neill, Assistant Deputy Commissioner, International Branch, ATO, Committee Hansard, 17 February 2012, pp 56–57.

[19]      Mr Michael O'Neill, Assistant Deputy Commissioner, International Branch, ATO, Committee Hansard, 17 February 2012, pp 57–58.

[20]      ATO, answer to question on notice, 9 May 2012, (received 5 June 2012).

[21]      Tabled document, 16 August 2012, correspondence from the ATO to Senator Heffernan dated 22 June 2012. See: https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Rural_and_Regional_Affairs_and_Transport/Completed%20inquiries/2012-13/firb2011/submissions.

[22]      Tabled document, 16 August 2012, correspondence from the ATO to Senator Heffernan dated 22 June 2012. See: https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Rural_and_Regional_Affairs_and_Transport/Completed%20inquiries/2012-13/firb2011/submissions.

[23]      ATO, Committee Hansard Proof, 16 August 2012, p. 7.

[24]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, p. 11.

[25]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, pp 12–13

[26]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, p. 20.

[27]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, p. 14.

[28]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, p. 15.

[29]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, p. 15.

[30]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, pp 13–14.

[31]      Mr David Farley, Chief Executive Officer and Managing Director, AAco, Committee Hansard, 10 August 2012, p. 14.

Chapter 3

[1]        Mr John Phillips, Chair, FIRB, Committee Hansard, 9 February 2012, p. 2. Note: the FIRB review threshold is indexed annually. In 2011 (when the inquiry began) the figure was $231 million and in 2012 the figure is $244 million. For consistency in this report, whenever the figure of $231 million was used in evidence it has been replaced with the $244 million figure.

[2]        Mr John Phillips, Chair, FIRB, Committee Hansard, 9 February 2012, p. 18.

[3]        Mr John Phillips, Chair, FIRB, Committee Hansard, 9 February 2012, p. 5.

[4]        Foreign Acquisitions and Takeovers Act 1975, ss. 5(1)

[5]        Mr John Phillips, Chair, FIRB, Committee Hansard, 9 February 2012, p. 16.

[6]        See also, FIRB, Australia's Foreign Investment Policy, January 2012, p. 10. The vacant land referred to here is vacant land for the purposes of future commercial development. Some exemptions to FIRB review apply and are listed on p. 11.

[7]        Mr John Phillips, Chair, FIRB, Committee Hansard, 9 February 2012, p. 18.

Additional Comments by Senator Nick Xenophon

[1]        Mr John Phillips, Chair, FIRB, Committee Hansard, 9 February 2012, p. 18.

[2]        Mr David Farley, Chief Executive Officer and Managing Director, Australian Agricultural Company, Committee Hansard, 10 August 2012, p. 14.

[3]        Mr John Phillips, Chair, FIRB, Committee Hansard, 9 February 2012, p. 16.