Parliament to crack down on tax dodgers

The federal government will be seeking the opposition’s support for new laws that crack down on tax-dodging multinationals but Labor looks to be on its own pursuing Malcolm Turnbull over his offshore investments.

There are hopes that the four-day sitting of the lower house starting on Monday will also bring a breakthrough in talks between the government and Labor on passing the China free trade agreement.

Senators will quiz ministers and senior officials in a week of estimates hearings.

Labor spent much of last week’s parliamentary question time attacking the prime minister for making personal investments in the Cayman Islands.

But Deputy Greens Leader Scott Ludlam didn’t think it was a good idea trying to make Mr Turnbull the “poster boy” for multinational tax avoidance.

Liberal Democratic Party senator David Leyonhjelm thought it was “embarrassing” and didn’t think there should be a debate about the prime minister’s wealth.

Labor’s Ed Husic defended the attack saying it is all about options for people, some of which have been taken away by the coalition government, like superannuation contributions for lower income families.

Tax changes introduced by former treasurer Joe Hockey on September 16 will be a priority for the sitting week as they are due to start on January 1.

The bill imposes stronger penalties on large companies that engage in tax avoidance and profit shifting, and introduces country-by-country reporting to give tax authorities greater visibility of multinationals tax structures.

The laws will apply to 1000 large multinationals operating in Australia with annual global revenue of $1 billion or more – companies that pose the highest risk to Australia’s tax base.

Senate estimates hearings will kick off with the environment committee examining the environment department, Great Barrier Reef Marine Park Authority and climate-related agencies.

The financial and public administrations committee will examine two parliamentary departments, the Parliamentary Budget Office, Department of Prime Minister and Cabinet, auditor-general and ombudsman.

The Australian Border Force, which began on July 1, will face its first estimates hearing along with the immigration department and officials from Operation Sovereign Borders.

The rural and regional affairs and transport committee will start its hearings on Monday looking at the infrastructure department and its agencies.