Labor has again shown they have no understanding of agricultural Managed Investment Schemes (MIS).
Labor is holding out false hope to the agribusiness MIS industry that they would roll back the Australian Tax Office’s new tax treatment of agribusiness MIS.
In a rambling statement today, Shadow Spokesmen Chris Bowen and Kerry O’Brien have criticised the ATO’s decision to provide a one year transition period for agribusiness MIS, postponing the commencement of the new tax treatment until 1 July 2008.
The statement strongly indicates that Labor would do things differently and reverse the ATO’s decision on the treatment of these managed investment schemes.
The reality is Labor has no position, no policy and no plan on this issue.
When put to the question on what position they would take on agribusiness MIS, Labor splutter and stutter in an attempt to have a bet each way.
When interviewed on Tasmanian radio recently, Shadow Treasurer Wayne Swan, could not coherently outline where Labor stands on agribusiness MIS:
“JOURNALIST:
What is your general thinking though, should there be concessions for all forms of Agriculture through Managed Investment Schemes or just for Forestry or for none of them?
SWAN:
Well I think if there is going to be a level playing field, it should be for all, but if they are being abused, then I am not going to be part of any Scheme which is being abused by people, so I am happy to listen to what they have got to say.”
And while Senator O’Brien has been calling for a full Senate inquiry into agribusiness MIS, leading industry representatives to believe that Labor would restore the status quo, the Shadow Assistant Treasurer, Chris Bowen, has been whistling a different tune.
In Parliamentary Question Time on the 28th of February the Shadow Assistant Treasurer revealed all Labor’s blustering over this issue as a complete facade:
“Yesterday in the other place, Senator Heffernan said in the House that I had given a commitment on behalf of the Labor Party to restore tax deductibility on Non-Forestry MIS…I have not made any statement vaguely approaching what Senator Heffernan has suggested.”
This is a reflection of the new Labor style under an inexperienced Leader of the Opposition - take a bet each way without making a single policy decision, in the hope of grabbing a few votes.