Energy giants called to explain billions in tax havens Read more: http://www.smh.com.au/federal-pol

Interesting read when you also look at the on-line stores currently under review regarding taxation also


Multinational fossil fuel companies behind Australia's biggest resources project are among a group of petrol and oil companies asked to explain tens of billions of dollars they hold in tax havens across the globe.

In letters received this week, eight companies have been asked by the Senate's corporate tax avoidance inquiry to detail their networks of international subsidiaries and reveal the value of funds moved between countries over the past five years.

US-based Chevron and ExxonMobil, owners of the mammoth Gorgon liquefied natural gas project in Western Australia, which will transform Australia into the world's biggest LNG exporter by 2018, are among the companies asked to make submissions ahead of likely public hearings of the tax avoidance committee.

Cost blowouts on the $US54 billion ($73 billion) Gorgon project already top $US17 billion – all of which will be tax deductible after gas revenues start flowing later this year.

The other companies are Caltex, BP, Woodside, Santos, Origin and Viva Energy, the company established to operate Shell's retail petrol business and remaining refinery operations.

As political debate in Australia rages about an appropriate level of government support for renewable energy, the traditional energy companies will be asked to account for money flows out of Australia.

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