PM Transcripts

PRIMtZ MINISTaR CA, 4SCRNA
STATEMENT BY THE PRIME MINISTER, THE HON P J KEATING NP
The attack on me today by the Opposition's Alexander Downer~
is outrageous. It arises from a flagrant and delibeirate
distortion of accounts which are perfectly normal, and which
have been audited by the accounting firm KP? 40 Peat MarwickC.
My position is not at all comparable to Or Hawon's.
The $ 4million profit referred to by Mr Dowaner arises from
the trading company ( Brown and Hatton wholesale Pty Ltd) on
its trading activities. But when grouped with the primary
producing business-which carries the principal costs of
production the " profito is properly and legitimately
of fset.
This to the normal operation of company grouping and the
grouping provisions of the tax act, and in not tax
minimisation. ] prHewson. and Mr Downer know this, and have resorted to this
distortion to defend Dr Howson's own position. They seek to
rely upon the media's inability to immediately understand
the business and tax arrangements applying within a
particular company or group.
Dr Howson is reported to have minimised his tax by putting a
domestic house into a company.
This is not a device available to the vast majority of
Australians. if Dr Hewson is looking for a comparable example in tax
treatment, I bought a domestic house within one month of'him
buying his home in February 1983. 1 have carried all of its
costs personally and absolutely none have been deducted
against other income, and the house was never placed in a
company for the purposes of tax minimisation.
I have never relied upon such dubious and slick practices.
SYDNEY January 26, 1993 5645