ATO Data Shows Large Companies Pay Little to No Tax

The Australian Taxation Office published its 2024-25 transparency database, revealing that more than one-quarter of large companies generating at least $100 million in Australian income paid little to no corporate tax. The data highlights significant gaps between revenue and tax contributions for several major multinationals.

Singapore Telecommunications Limited, the parent company of Optus, reported zero taxable income despite generating $8.3 billion in revenue. Microsoft's datacentre business followed a similar pattern, reporting no taxable income on $2.3 billion in revenue. Other companies that paid zero tax include JBS Global Meat Holdings, which generated over $4.8 billion, as well as Fonterra, Sony Australia, and Kogan. Netflix and TikTok also paid relatively small amounts of tax compared to their billion-dollar and multi-million dollar revenues, with Netflix paying $8.4 million on more than $1.4 billion in local revenue.

The agency noted that zero-tax outcomes can stem from legitimate deductions or losses, but it identified profit shifting to lower-tax jurisdictions as a primary area of regulatory scrutiny. Acting Deputy Commissioner Michelle Sams stated the agency is focusing on digital businesses and supply chains to ensure tax payments reflect local economic activity.