Tax avoidance ‘is theft’, Joe Hockey says ahead of G20

Treasurer Joe Hockey has called multinational companies who avoid paying tax “thieves” whose actions worsen inequality and make it harder for governments to fix poverty.

Mr Hockey told reporters in Brisbane on Thursday that this weekend’s Group of 20 leaders summit would focus on ensuring that “companies pay tax where they earn profits, that individuals pay tax where they should be paying tax.”

“It’s hugely important for the globe that companies pay tax on their profits. It is theft when someone does not pay the tax due to the nation.

“It undermines the ability of that nation to be able to deliver the sorts of services that are essential to alleviate poverty.”

Mr Hockey also vowed the meeting would not be distracted from its core goal of finding fresh sources of global economic growth.

Under Australia’s insistence – as host of this year’s G20 – the group’s agenda has been dominated all year by economic issues such as a 2 per cent growth target, as well as reducing tax minimisation and boosting financial system stability.

Critics of the forum have called for other issues to be included such as climate change and Ebola.

Mr Hockey said while those issues would be discussed they were not the primary focus.

“The whole agenda is focused on jobs and growth,” he said. “People have been critical of the G20 in the past for not delivering tangible outcomes.

“There will be no single issue that will distract leaders or anyone else fro the task of developing growth and jobs.”