Sydney: Energy giant Chevron on Friday lost its appeal in major battle against a Aus$269-million (US$203 million) tax bill in a case that could have global implications for multinationals looking to cut their obligations.
The Federal Court ruled in favour of a 2015 decision by the same court that the US giant had minimised its payments through a loan scheme and ordered it to foot costs, estimated by local media at more than Aus$10 million.
The ruling is a significant victory for the Australian Taxation Office (ATO), which is investigating other global firms for alleged avoidance.
It also followed an announcement by Canberra this month that seven multinationals were facing a total of Aus$2.9 billion in bills after assessing their tax arrangements.
Chevron said in a statement that it was disappointed with the outcome. “We will review the decision to determine the next steps, which may include an appeal to the High Court of Australia,” a spokesman said. — AFP
Oman Observer is now on the WhatsApp channel. Click here
