On 2 July the Australian Government announced that, due to industry concerns, it had scrapped the Resource Super Profits Tax (RSPT) and proposes to replace it with the Minerals Resource Rent Tax (MRRT) to take effect from 1 July 2012.
To fund the changes proposed under the MRRT, the Government has announced that it will reduce the corporate tax rate to 29% from 1 July 2013, with no further reduction (it had originally proposed a further reduction to 28% from 1 July 2014).
The tax rate for "small companies" will also be reduced to 29% with effect from 1 July 2012. No changes are proposed to the superannuation reforms announced on 2 May.
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