Uber pays its drivers ‘wages’ and is liable for $81m payroll tax bill, Australia’s high court rules
Summary
Australia’s High Court ruled that Uber must pay A$81 million in New South Wales payroll tax for 2015–2020. The six-to-one decision found that the payments Uber made to drivers counted as wages under state law, and the ruling ends the company’s legal challenge to the tax assessment.Key Facts
- The case concerned payroll tax owed in New South Wales.
- Uber argued that it did not employ drivers and that payments to them were not wages under state law.
- Six of the seven High Court justices rejected Uber’s appeal.
- The A$81 million tax bill covers the years 2015 through 2020.
- The article says later tax years could push Uber’s total bill above A$100 million.
- The majority said Uber controls fares before paying drivers and can deduct its fee or change or cancel a fare.
- New South Wales Finance Minister Courtney Houssos said payroll tax helps fund public services and that Uber should pay its share.
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