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Industry, News - Wednesday, May 1, 2013 11:06 - 5 Comments
news The Australian division of search and software giant Google has published its latest set of financial results for the 2012 calendar year, revealing that it paid several million dollars more tax than the paltry $74,000 sum it claimed in 2011, but also that its revenues and headcount jumped substantially over that period.
In May 2012, the company attracted significant criticism as it revealed it expected to pay just $74,000 in corporate income tax for the 2011 calendar year in Australia, off claimed local revenues of $201 million, despite the fact that industry estimates have continually pegged the search giant’s Australian income at closer to $1 billion.
In its financial statements, Google Australia did not list its activities as being the provision of advertising and software services, both of which it charges Australian customers for. Instead, it noted that it has agreements with its US parent, Google Inc, and a company called Walkway Technologies for the provision of research and development services, and with Google Ireland and Google Asia-Pacific for the provision of sales and marketing services. Consequently, almost all of Google Australia’s revenues were listed as being for services thus rendered to those companies. Continue…