News Corp rejects tax minimisation claims

News Corp Australia has rejected tax minimisation claims by Fairfax Media over Easter. The company released this short statement on Tuesday:

News Corp Australia has denied claims in the Fairfax press that it had “siphoned off $4.5 billion in cash and shares from its Australian operation, virtually tax-free.”

News Corp Australia CEO Julian Clarke said: “This claim is based on a fundamental misunderstanding of the nature of these transactions, US and Australian tax treaties and applicable Australian tax law.”
Over the last five years, News Corp Australia has paid $417 million in corporate tax and withholding tax on accounting profits of $815.9 million. News Corp Australia has also paid $900 million in goods and services, fringe benefits and payroll taxes over the last five years.

“We expect these matters to be covered in more detail at the Senate Committee tax hearing in Sydney tomorrow,” added Clarke.