Facebook earns 700 million Australian dollars (455 million euros) Advertising revenue Online sales boosted last year as Australians spent more time at home and online during the Pandemic. He has to pay Taxes At just $ 20.2 million (13 13 million), the parent company in the USA is charged a large chunk of revenue. Documents submitted to the Regulatory Body Australian Securities and Investment Commission (Asik) It reveals Facebook Australia Advertising sales in 2020 were $ 712.7 million ($ 463 million), an increase of 5.7 percent over the previous year. The social network records the Australian operations of its website, Instagram and Messenger applications’ advertising inventory resale and the need to pay for these resale costs. Parent company in California.
Reduces revenue from tax authorities
This huge expense account allows the established company Mark Zuckerberg To drastically reduce profits in Australia and to exclude local revenue from the Australian Treasury. After such DiscountsNet ad sales in Australia will be $ 154.5 million ($ 100.4 million) in 2020, 7.4 percent lower than in 2019. A Facebook spokesman said the company had complied with the legislation and paid the exact tax. Ours is taken seriously Tax liabilities We are committed to supporting local communities and businesses in Australia, ”he added.
Big Tech and Web Tax Assumptions
Great technology for a while In the eyes of the taxpayer In European countries, too, they can reduce tax-generating revenue by setting up tax offices (for example, Ireland with a corporate tax rate of 12.5%) in more favorable tax-imposing countries. A system of Tax exemption In itEuropean Union, A web tax was levied at a rate of 21 per cent. The United States It is proposed to impose a 15% tax on all multinational companies at all OECD countries and levels A single global tax It is being discussed these days. The European Union has stepped in with Italy, France and Germany, hoping to reach an agreement in principle on the forthcoming Economic G20 in Venice in early July. The finance minister assured that the current president, Italy, is making every effort to reach a political agreement there. Daniel Franco.
Code of Conduct and Payment for Content
In Australia, Facebook, like other sites that publish other people’s content, is adapting to the media challenge due to a new law (see interview with the head of the Antitrust Authority here). The new regulation forced social media to start discussions with several media channels Payments for publishing their content On its users’ newsfeeds on its website and applications (read the agreement with the News Corporation here). Negotiations began with the introduction of a mandatory code of conduct in Australia, and ASIC, which provides Facebook and contracts. Google And individual media companies when platforms host their content. Facebook has formally approved special agreements with leading Australian media outlets.