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Swan stands tall against High Court mining tax challenge

09/07/2012 - Federal Treasurer Wayne Swan says he is confident the federal government's mining tax will withstand a High Court challenge.

The treasurer was responding to a decision by the Queensland state government to join a legal challenge by Fortescue Metals Group.

Queensland Attorney-General Jarrod Bleijie says crown law advice has questioned the constitutional validity of the minerals resource rent tax (MRRT), which began operation on July 1.

Swan said he was "very confident" the MRRT would withstand any legal challenges.

"It appears that the Queensland government is prepared to waste taxpayers' money on a futile challenge that not even the premier of Western Australia would entertain because he knew it would be unsuccessful," he told ABC Radio on Monday.

He said the decision showed the influence mining magnate Clive Palmer had on the Liberal National Party (LNP).

"They (the LNP) are prepared, effectively, to rob the punters so they can give a very big tax cut to Mr Palmer."

Attorney-General Jarrod Bleijie says the Newman government can't sit back and do nothing in the face of a threat to its resources industry and jobs.

"We're wanting to reduce the unemployment rate in Queensland to four per cent in six years. We can't do that if the federal government keeps attacking our resource rich mining sector," he told ABC Radio.

He conceded the challenge could be difficult to win.

"But it's worth it in that if we don't do it, then we'll regret it," he said.

In a statement to reporters, Bleijie said the government was "intervening" in the Fortescue challenge, rather than mounting its own challenge.

"The government will be represented by Crown Law and the Solicitor-General. These measures will ensure Queensland taxpayers will not be out of pocket," he said.

Attorney-General Jarrod Bleijie says the Newman government can't sit back and do nothing in the face of a threat to its resources industry and jobs.

"We're wanting to reduce the unemployment rate in Queensland to four per cent in six years. We can't do that if the federal government keeps attacking our resource rich mining sector," he told ABC Radio.

He conceded the challenge could be difficult to win.

"But it's worth it in that if we don't do it, then we'll regret it," he said.

In a statement to reporters, Bleijie said the government was "intervening" in the Fortescue challenge, rather than mounting its own challenge.

"The government will be represented by Crown Law and the Solicitor-General. These measures will ensure Queensland taxpayers will not be out of pocket," he said.


Source: AAP
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Have your say...
alf arnold | 9/07/2012 13:05 1
How can Wayne Swan stand tall, he cant see over the instructions on his desk from the Union movement and the hidden few to see what he has done to this Country, If Palmer and all these mining people have to cut profits that is less money for other project that create jobs. An this in turn cut productivity. At least they are producing wealth that is more than Swann is.
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