BHP agrees to pay $529m to settle Australia tax dispute

19th Nov 2018 07:03

(Sharecast News) - Miner BHP on Monday said it had agreed with the Australian Taxation Office to settle the transfer pricing dispute over its marketing operations in Singapore without admitting fault.The company said it would pay AUD $529m (£301m) in additional taxes on income for 2003 to 2018.The dispute was over the amount of Australian tax payable from sale of BHP's Australian commodities to its Singapore marketing business.In addition, from July 2019, BHP would increase its ownership of BHP Billiton Marketing AG, which is the main company conducting BHP's Singapore marketing business, to 100% from 58%."The change in ownership will result in all profits made in Singapore in relation to the Australian assets owned by BHP Group Limited being fully subject to Australian tax," the company said in a statement.