By Professor Miranda Stewart
There has been a lot in the news lately about the low tax paid by some multinational corporations, including Starbucks and Google. But these multinationals say that they are complying with the tax law of all countries. How do they do it?
The recent Australian High Court case of Mills v Commissioner of Taxation  HCA 51 is an example of successful international tax planning by a major multinational bank. It concerned a financial transaction by the Commonwealth Bank, one of Australia’s ‘big four’ banks and the second largest corporate group listed on the Australian Securities Exchange. Continue reading