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Treasury has become a 'gun for hire'

Coalition MPs have unleashed a savage attack on the credibility of Treasury boss Ken Henry over his figures on the amount of tax mining companies pay.

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Source: AAP


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Federal coalition MPs have unleashed a savage attack on the credibility of Treasury boss Ken Henry saying he can't be trusted on figures showing the amount of tax mining companies pay.

Liberal backbencher Wilson Tuckey says the Treasury figures can't be trusted because it has become a "gun for hire".

"I wouldn't trust anything Ken Henry said," he told reporters in Canberra on Tuesday, adding that the Treasury secretary "goes out and argues a political case".

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"It's bad form and it shouldn't occur."

The federal government on Monday released a Treasury minute showing mining companies paid an effective company tax rate of just 17 per cent during the decade to 2004/05, which is 12 per cent below the average rate for all industries.

The minute was released after the opposition produced tax office figures showing miners paid an effective rate of 27.8 per cent.

Mr Tuckey said he wouldn't go so far as to call Dr Henry a liar, though.

"Who was it that said lies, damn lies and statistics?"

The outspoken West Australian MP said even if the average 17 per cent figure could be justified "arithmetically" it didn't apply to successful companies or factor in royalties.


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