How companies like Ikea avoid paying tax.

That's a tax rate of about 3 percent. 

Treasurer Joe Hockey has discussed an increasing the GST as well as broadening it to include basic food items, medical, education and childcare. Meanwhile large corporations such as IKEA exploit every tax loophole and pay as little as 1 percent tax. 

If the government wants to bring the federal budget back into balance it should target those who can afford it. The company tax rate in Australia is 30 percent. That's what companies should pay, no more, no less. 

The government tries to increase taxes and cut funding to education, health and welfare while proposing tax cuts for companies and allowing them to exploit these tax loopholes to maximise their profits.