Login
iscover
Google will pay an extra $481.5 million to the ATO to settle a decade-long tussle with the agency, bringing total tax collections from e-commerce taxpayers to $1.25 billion.
Google agrees to pay ATO $481.5m
19 December 2019
•
4 minute read
Search engine giant Google has announced that it has settled its tax dispute with the ATO with a payment of an extra $481.5 million on top of their previous tax payments.
You’re out of free articles for this month
To continue reading the rest of this article, please log in.
Create free account to get unlimited news articles and more!
The settlement will see Google join the likes of Microsoft, Apple and Facebook in publicly settling their tax affairs with the ATO, bringing the total tax collections made against taxpayers in the e-commerce industry to around $1.25 billion cash.
The ATO said the introduction of the Multinational Anti-Avoidance Law (MAAL) and the work of the Tax Avoidance Taskforce would ensure that sales by digital giants would now be returned to Australia’s tax base.
According to the ATO, the MAAL has already seen $7 billion in sales booked, and the appropriate profit of these activities taxed, in Australia for the first time.
“This settlement is another great outcome for the Australian tax system,” ATO deputy commissioner Mark Konza said.
“It adds to the significant success of the ATO in positively changing the behaviour of digital taxpayers and significantly increasing the tax they pay in Australia.
“The extension of the taskforce until 2023 will ensure that the ATO is able to continue to pursue these issues and provide assurance to the community that we are doing everything in our power to protect Australia’s tax base.”
You need to be a member to post comments. Become a member for free today!
