BHP to pay A$529m to Aussie taxman to resolve dispute over Singapore hub
Dispute concerns sales of miner's Australian commodities to its S'pore marketing business
Bengaluru
BHP on Monday said it had signed an agreement with Australia's tax authorities to settle a long-running dispute over the global miner's operations in Singapore.
As part of the deal, the world's largest miner will pay a total of about A$529 million (S$531 million) in additional taxes on income for 2003 to 2018, BHP said in a statement.
The Melbourne-based miner has already paid A$328 million of that.
The dispute was regarding the amount of Australian tax payable from sales of BHP's Australian commodities to its Singapore marketing business.
"This is an important agreement and we are pleased to resolve this long-standing matter," BHP CFO Peter Beaven said.
Additionally, BHP will raise its stake in BHP Billiton Marketing AG, which is the main company conducting the miner's Singapore marketing business, to 100 per cent from 58 per cent.
"The change in ownership will make all profits made in Singapore from Australian assets owned by BHP fully subject to Australian tax, the miner added. (The deal) fully resolves the long-standing dispute... with no admission of tax avoidance by BHP, and provides certainty in relation to the future taxation treatment," BHP said. REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Energy & Commodities
India's Vedanta misses Q4 profit estimates on lower prices
BHP targets Anglo American in bid valuing miner at US$39 billion
China's Sinopec charts global expansion with refinery in rival India's backyard
Gold trades in tight range as market focuses on US economic data
Oil settles lower as US business activity cools, concerns over Middle East ease
Orsted says Taiwan wind project to power TSMC on track for 2025 finish