Singapore Telecommunications Ltd has estimated it faces A$304 million ($216 million) in tax publicity, curiosity and penalties, after an Australian courtroom dismissed its attraction towards an evaluation by the nation’s taxation workplace.
The case is expounded to its acquisition of Singtel Optus Pty Restricted in 2001.
Singtel’s Australian subsidiary, Singapore Telecom Australia Investments (STAI), had obtained amended assessments from the Australian Taxation Workplace for primary tax of A$268 million, curiosity of A$58 million and penalties of A$67 million in 2016 and 2017.
Singtel stated in an announcement on Sunday it had obtained an “unfavourable judgement” from the Federal Court docket of Australia of its attraction towards the assessments.
The exposures, which consider a refund of withholding tax, have been totally disclosed as contingent liabilities in Singtel’s audited monetary statements in prior durations, the corporate stated.
“The Singtel Group will take into account the small print of the judgment, discover out there choices and decide subsequent steps. If the above tax exposures are assessed to be possible, provisions shall be made within the accounts,” Singtel stated within the assertion.
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