WA mining industry to lobby more on halting additional tax
The mining sector in Western Australia will continue to lobby on the additional taxes on the sector, stating they oppose the confederation's move.
The Henry Tax review will seek a national resource rent tax aside from the state-based royalty regime.
Premier Colin Barnett expressed its disappointment with WA resource companies for the lack of preparation for more federal taxes.
Reg Howard-Smith, a representative of the Chamber of Minerals and Energy, said it took many for the resource companies to prepare for the review.
"Clearly the major strategic issue of our focus now for over 12 months has been on opposition to a resource rent tax in Australia," he said.
Howard-Smith said the mining sector will continue to advocate its decision regarding the mining tax law and will wait for the outcome of the review on Sunday.
Yesterday, labor opposition leader Eric Ripper of Western Australia condemned the Federation on its move to tax the mining industry - which contributed to the recovery from the global financial crisis.
Mr. Ripper said that Western Australia already subsidizes the rest of the federation and there's a possibility that an increase for more subsidy from Western Australia will be expected.
"I would caution any government about extra taxation on the mining industry, including the state government, because in the end you can choke off the prospect of new projects," he warned.
The Henry Tax is pending under review by Treasury Secretary Ken Henry. The review is scheduled to deliver on Sunday when financial markets close down.