Google Australia has reportedly paid just $74,000 in tax, while claiming revenues from Australian customers of over $201 million.
Delimiter reports that Google Australia’s sales and marketing operations are provided through Googleโs subsidiaries in Ireland and the Asia-Pacific region, where company tax rates are lower.
As a result of the arrangements, Google is able to claim an on paper loss for its Australian division.
The news comes after reports that Apple pays an effective tax rate of just 9.8% worldwide, and further highlights the difficulties governments face in collecting company tax revenues from online services.
Comments