OPINION: Reviews, discussions, a close checking process – Rio Tinto has paid $1.1 billion in settlements but don’t ever suggest it has trouble with the Tax Office.
Former Rio Tinto Australia CEO Phil Edmunds was so pleased with his performance at the Senate tax inquiry that he still refers to it triumphantly on his LinkedIn page.“Contrary to recent suggestions, we are not being chased by the ATO for billions of dollars in relation to our single core commercial centre,” Rio Australia CEO Phil Edmunds testified with fine disdain. “We do not undertake aggressive or non-commercial structuring to avoid paying tax.
But here was the kicker: “We have not received a position paper from the ATO indicating a position; therefore we are not currently in dispute with the ATO,” Wolff said. The reason? Rio reported an assessment for its Singapore iron ore sales that covered only the years 2010 to 2013. Rio knew the ATO would be making similar assessments for the following years, but it hadn’t yet been formalised, so it was on the hook for a much larger number, which it didn’t have to tell shareholders. We’ll never know what that number was because the whole lot has now been settled.
It was a 50 per cent penalty , which is customarily imposed for recklessness: a reasonable person “would have been aware that there was a real risk of a shortfall amount arising and you disregarded, or showed indifference to, that risk”.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
The January 6 panel put on a gripping ‘finale’ full of damning details about TrumpWhereas the first seven hearings set out unforgivingly what Trump had done, this one told a gripping story about what he did not do
Read more »
Bree's a great guide dog, but she can still get distracted and walk handler Paul Manfrin into a poleHaving 5-per-cent vision can leave Paul vulnerable in some situations, but having a guide dog can help — mostly — as he writes in his blog, Me and Bree.
Read more »
Crypto traders warned of unexpected tax billsTax experts have warned that cryptocurrency traders could be on the hook for tens of thousands of dollars in unexpected tax bills due to the collapse of major stablecoin Terra.
Read more »
This man made $52b this year, now he is richer than Bill GatesIt’s not just coal that lifted Gautum Adani’s wealth by $52 billion this year, he is adding green energy, airports, data centres, digital services and media.
Read more »
Farewell, Ramsay Street: 10 ways Neighbours changed British cultureFrom its first airing in the 80s, the Australian TV soap had viewers hooked. As the final show goes out in the UK on 29 July, what has been its legacy?
Read more »
Farewell, Ramsay Street: 10 ways Neighbours changed British cultureFrom its first airing in the 80s, the Australian TV soap had viewers hooked. As the final show goes out in the UK on 29 July, what has been its legacy?
Read more »