Dairy Giants Avoid Australian Tax Bill
Source: dairynews.today
Global dairy companies like Fonterra, Lactalis, Saputo, and Bega face criticism for paying minimal tax on their substantial Australian earnings.
Global dairy giants, including Fonterra, Lactalis, and Saputo, have been reported to pay less than half a percent of their Australian earnings in taxes, raising questions about their tax practices. From 2018 to 2023, these companies earned a combined $38 billion in Australia but contributed only a fraction in income tax.
The New Zealand firm Fonterra paid no tax on its $7.73 billion earnings due to previous tax losses. Similarly, Saputo Australia paid just $24 million on $13.3 billion and utilized a subsidiary to maintain low visibility on these figures. Lactalis paid $38.8 million on its $10.22 billion, and Bega paid $29.8 million on $11.3 billion in earnings over the same period. Criticism has also been directed at these companies for not contributing to Dairy Australia while benefiting from industry-wide initiatives funded by local farmers and taxpayers. Efforts to improve tax transparency have had limited success, as demonstrated by the Australian Taxation Office’s reports.
The New Zealand firm Fonterra paid no tax on its $7.73 billion earnings due to previous tax losses. Similarly, Saputo Australia paid just $24 million on $13.3 billion and utilized a subsidiary to maintain low visibility on these figures. Lactalis paid $38.8 million on its $10.22 billion, and Bega paid $29.8 million on $11.3 billion in earnings over the same period. Criticism has also been directed at these companies for not contributing to Dairy Australia while benefiting from industry-wide initiatives funded by local farmers and taxpayers. Efforts to improve tax transparency have had limited success, as demonstrated by the Australian Taxation Office’s reports.
