Taxation (Multinational—€”Global and Domestic Minimum Tax) 2024

# Taxation (Multinational—Global and Domestic Minimum Tax) Bill 2024 ## What it does This law makes sure large multinational companies pay a minimum amount of tax in Australia, no matter where their profits are earned or how they structure their business. It creates three new taxes: one for profits shifted overseas, one for Australian profits taxed below the minimum rate, and one for profits in countries with very low tax. The government is implementing an international agreement signed by around 140 countries to stop companies playing tax havens off against each other. ## Why it matters Big multinational companies have been legally reducing their tax bills by shifting profits to low-tax countries—meaning Aussie taxpayers and small businesses pick up a bigger share. This law aims to level the playing field so global corporations can't dodge taxes just because they're multinational. ## Key details - **Who's affected:** Only large multinational company groups (defined in the bill) need to comply; small local businesses are unaffected - **The minimum rate:** Companies must pay at least a globally agreed minimum tax rate on their worldwide profits - **How it works:** The law sets out three separate tax rules depending on whether profits are overseas, in Australia, or in low-tax jurisdictions—the government will release detailed rules later to explain exactly how to calculate what's owed - **Commencement:** Various dates from 2024 onwards, with the government setting exact timelines through regulations

🔒 Voting closed — this bill has been decided by parliament