Two US tech giants called ATO over PwC leaks probe

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Two US tech giants called ATO over PwC leaks probe
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Two big US firms attempted to curtail the PwC leaks investigation in 2021 by putting pressure on the Tax Office to call off the industry regulator.

in 2021 by putting pressure on the Tax Office to call off the industry regulator.

It’s understood the Tax Office’s position is that the tech companies queried why they had received notices to produce documents from the TPB that related to confidential settlements. This alerted the ATO to what it saw as a jurisdictional issue, which raised concerns that the TPB’s actions could endanger ongoing ATO negotiations with the companies.

This week a Microsoft spokeswoman said, “We are unable to provide any comment,” in regard to the TPB inquiries.In a statement, Apple said: “The MAAL does not apply to our business. We did not engage with PwC or any other Australian regulatory body regarding it.” Damon Richardson, director of international tax for Google, at the Senate tax avoidance inquiry in August 2017. In December 2019, Google signed a $481.5 million confidential settlement with the ATO.“Facebook did not seek advice from PwC on how to comply with the MAAL until after Treasury issued the draft legislation, which is why we were surprised to learn of PwC’s alleged conduct.

The TPB opened an investigation into Mr Collins in January 2021, but relations with the Tax Office soured after the agency opened a second investigation into PwC itself two months later.

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