knockoff nige

Am I reading this wrong or is that $100 million in tax on $8.7 billion profit?

Commonwealth Bank posts record $8.7 billion profit - ABC News (Australian Broadcasting Corporation)

Amazulu

9% dividends

Time to invest in CBA methinks

Swerv-o

Yeah, that's a pretty good return...


S

knockoff nige

If the big four banks paid their fair share, we'd have a superb Medicare. Paying little over 1% tax is disgusting.

Beoz

You have a choice to help bolster their profit or not. Your choice.

If its the Robin Hood support you are looking for then you can rest in comfort knowing that the more money they make, the more they pay in tax.

Bermudashorts

It looks like $3.2bn of corporation tax to me? On NPBT of $11.9bn. So about 27%.

Where are you seeing $100m?

Amazulu

I haven't seen their annual report but I doubt that they only paid $100m in tax - it was probably in the billions

I reckon you're reading it wrong

knockoff nige

Yeah well I think I was reading the article right but it didn't give all the facts.

Bermudashorts

Indeed as above. I have just taken a quick look at the accounts and they appear to have paid $3.25bn in tax.

In the footnotes there is a reference to $100m or thereabouts in relation to "policyholders tax" quite another matter. That sounds like tax paid on funds invested for benefit of policyholders, so perhaps investment funds or investments backing life insurance policies. But on their own income, it is over $3bn accrued for tax.

knockoff nige

Let's assume that I was correct and they were paying such low tax, you seem to be totally ok with a company paying only 1% in tax. We could all prosper with that advantage. I'm not sure what you mean by it being my choice to bolster their profit. Why would I do that? To get them to pay more tax? Let me remind you that these are the same guys who were knowingly swindling their customers out of their money by using rogue financial advisors.

Bermudashorts

The article didn't even mention tax.

knockoff nige

It gave the figure $8.7 billion and then $8.6 billion after tax.

Bermudashorts

Oh seriously, you make an outraged post because you cannot read financial statements and then challenge somebody on a low tax rate that you have miscalculated.

When I read the article in your link, I saw reference to "cash profit" and as tax is not levied on "cash profit" and before I had found the financial statements, I was wondering what could have been in the non cash profit (or loss) to bring the tax rate down to such a low level.

My default would be to find out what caused it before assuming that the organisation are a bunch of tax dodging crooks.

Bermudashorts

It certainly does not.

All the figures in that article are after tax "NPAT" (net profit after tax), just two slightly different view.

Amazulu

Everyone, both businesses and individuals, should pay the tax that is required by the law of the land. Equally, everyone has the right to try and reduce the amount of tax they pay - as long as yhey are not breaking any laws

If companies or individuals are paying massively reduced tax but staying within the law, then that's cool. In fact, it's their duty to their shareholders and families

If governments or individuals are not happy with this then change the laws

Simple as