High Court orders Uber to pay $81m NSW payroll tax
High Court orders Uber to pay $81m NSW payroll tax

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Arabic version: المحكمة العليا تُلزم أوبر بدفع 81 مليون دولار ضريبة رواتب في نيو ساوث ويلز

According to ABC News, Uber will have to pay $81 million after the High Court of Australia found it owed payroll tax in New South Wales.

The rideshare company had challenged an assessment covering fares paid to Uber drivers between the 2015 and 2020 financial years. The High Court, by majority, dismissed Uber’s appeal in full.

Uber argued it was a payment collection agent that passed fares to drivers after deducting service fees, and therefore should not fall under NSW payroll tax rules.

However, the court declared that Uber drivers were employed under contracts and that the fares they received were deemed wages for payroll tax purposes. Uber must also pay the costs of the NSW Chief Commissioner of State Revenue.

The ruling is likely to have ramifications for the broader gig economy.

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