Malcolm Turnbull’s Secret Cayman Islands Cash Stash!
The Prince of Point Piper, also known as the Prime Minister, Malcolm Turnbull, has dismissed claims by the Labor Party that he’s evading tax by investing in hedge funds based in the notorious tax-haven of the Cayman Islands.
According to Parliament’s register of members’ interests, Mr Turnbull has invested in two hedge funds since July last year – Zebedee Growth Fund and MSD Torchlight Partners – who both list their address as Ugland House, George Town on Grand Cayman Island.
More than 18,000 companies incorporated in the Caymans – where the corporate tax rate is zero – have their registered headquarters based within the five-storey building.
In 2008, as he campaigned for the presidency, Barack Obama lambasted global companies who use Ugland House as their “official headquarters” in order to avoid paying tax.
Today, Labor Senator Sam Dastyari lashed out at the PM – who is said to have a net worth of some $200 million – accusing him of impropriety.
“There is one reason people invest in the Cayman Islands — so they don’t have to play by the same rules as the rest of us,” Senator Dastyari said.
“Why is it that this Senate can’t pass legislation to improve tax transparency? Why is it that we can’t crack down on multinational profit-shifting? Why have we seen Coalition senators refusing to ask companies earning over $100 million to declare how much tax they pay?”
“Why is it that the Liberal Party will go to the ends of the earth to protect big business? How is it appropriate that the Prime Minister of this country thinks it is acceptable to have his investments sitting in the Cayman Islands?”
Senator Dastyari acknowledged the investments were “all legal and disclosed” but asked “is any of it appropriate?”
Mr Turnbull defended his investments in the Cayman’s and accused Labor of engaging in “the politics of envy.” Later adding that he can’t understand why everyone else doesn’t hide their assets on the Cayman Islands.
Which is a good point. Why not invest in the Cayman Islands? Why not the USA? Or Russia? Or somewhere else?
A cynic might also care to make the point that he deliberately and knowingly invested in a tax dodging fund, not that he is not paying his fair share of tax in Australia.
Not that there’s anything wrong with that,apparently.
Rich people do it all the time, so we’re told.