Adam Bandt’s ‘Robin Hood’ tax reforms blasted as ‘economic sabotage’ from the Greens

Adam Bandt’s $514 billion “Robin Hood” tax grab has been labelled “economic sabotage” and a “fairytale” as business and the Federal Government line up to dismiss the Greens leaders’ pre-election pitch.

Mr Bandt wants to hit miners, gas companies, supermarkets and banks with bigger tax bills to fund cost-of-living relief such as free dental care.

The so-called big corporation tax package will be part of the Greens’ list of demands if Labor needs its support to form Government — a prospect that appears increasingly likely according to the polls.

Treasurer Jim Chalmers has ruled out adopting the idea as senior Labor ministers seized onto the announcement to attack the Greens’ economic credibility.

“What the Greens announced today is absolute rubbish and if the Greens had their way they would send WA, and therefore the nation into economic oblivion,” Resources Minister Madeleine King told The West.

“They have no regard for any kind of sense of how important the resources sector is to the economy and therefore they treat it like rubbish.”

Shadow treasurer Angus Taylor warned that the Greens would “wreak havoc” in a hung Parliament.

Under the Greens’ three-prong “Robin Hood” reforms, a 40 per cent tax would be levelled on the excess profits of iron ore, gold, alumina, and copper ore mines.

Lithium and nickel would be excluded.

The petroleum resource rent tax (PRRT) would be raised again and expanded to four new Queensland gas projects, while large non-resource businesses would be stung with a 40 per cent tax on profits of turnover beyond the first $100 million after a “reasonable” return to shareholders.

The package would create $514 billion in revenue over the next decade to be spent on cost-of-living measures, such as adding dental care to Medicare.

“The Greens will make the big corporations pay so you can fix your teeth,” Mr Bandt told the National Press Club..

Business and mining groups have unleashed on the Greens’ policy, warning of devastating economic consequences that would leave Australians poorer.

Minerals Council of Australia chief executive Tania Constable said Greens’ proposed tax grab would be “economic sabotage”.

“These destructive ideas, reheated year after year, would deliver a brutal blow to Australia’s competitive position, undermining investment, jobs, and growth across our critical industries,” she said.

“The last thing we need is to destabilise the sector that drives our economy and sustains our future prosperity.”

Chamber of Commerce and Industry WA chief economist Aaron Morey said the Parliamentary Budget Office’s costing of the policy had belled the cat on the devastating impact it would have on Australia’s resources sector and international reputation.

“The so-called Robin Hood tax proposed by the Greens political party works on the pretence that mining companies are the bad guys,” he said.

“Tell that to 145,000 people in WA who are directly employed in the mining industry, plus many more throughout the supply chain. Or the regional communities that rely on mining to generate job opportunities for their children. Or the millions of Australians who rely on the infrastructure and services paid for by significant mining royalties.

“The absurd Greens proposal to tax our mining industry into oblivion would destroy Australia’s economy and threaten the prosperity and way of life we all enjoy.”

Chamber of Minerals and Energy WA chief executive Rebecca Tomkinson said the peak body would not engage with “fairytale” policies.

Business Council of Australia chief executive Bran Black said the tax package was “economic vandalism”, noting Australian was already the second-highest taxing jurisdiction in the OECD.

Mr Bandt rejected suggestions the tax changes would force businesses offshore or gut the mining industry.

“We’re still going to need supermarkets, still going to need banks, there’s still money to be made out of mining,” he said.

“We’re not saying you can’t make a profit. We’re saying you’ve got to pay tax on these obscene profits.”

Mr Chalmers confirmed that Labor would not adopt the Greens’ proposal, which he said was designed to “get attention”.

Finance Minister Katy Gallagher lashed the tax grab as a “thought bubble”.