The Australian Taxation Office reports high levels of income tax and GST compliance among large public and multinational businesses, while increased tax certainty applications and targeted compliance activity address remaining risks.
The Australian Taxation Office (ATO) has published its annual findings on the tax compliance and performance of large public and multinational businesses on 17 September 2026.
The released findings show high levels of tax compliance across the nation’s largest businesses in the 2025-26 financial year. The data demonstrates consistent governance improvements and stronger transparency measures among corporate taxpayers. The results reinforce confidence in the health of the corporate tax system, with most large businesses paying the correct amount of tax and reporting accurate GST outcomes.
Majority of top businesses meet tax obligations
Among the Top 100 economic groups, 82% achieved either high or medium assurance for income tax, while 98% met the same benchmark for GST compliance. The Top 1,000 population showed similarly strong results, with 89% reaching high or medium assurance for income tax and 95% for GST.
The Top 100 groups paid AUD 61.5 billion in income tax during 2024, of which AUD 52.9 billion came from taxpayers with high or medium assurance ratings. For GST, nearly all AUD 11.9 billion reported by reviewed Top 100 businesses was attributable to well-assured taxpayers. The tax authority applies tailored engagement strategies based on each taxpayer’s assurance level and risk profile, focusing resources on those requiring greater scrutiny.
Engagement efforts yield results
More than 95% of Top 100 taxpayers currently have justified trust reviews underway, with 80% showing no outstanding past-year reviews. Governance improvements proved particularly pronounced for income tax, where more than half of Top 100 taxpayers achieved the highest governance rating. GST governance remained strong, with 61% of Top 100 reporters reaching Stage 2 or Stage 3 ratings.
The Top 1,000 population showed steady improvement over recent years. Of the AUD 38.4 billion in income tax paid in 2023-24, AUD 32.6 billion came from taxpayers given high or medium assurance ratings.
Tax certainty demand continues rising
Applications for tax certainty increased by 10% in 2025-26 as businesses sought clarity before implementing major transactions. The tax authority issued rulings with favourable outcomes 94% of the time.
Reportable tax position disclosures rose by over a third, while lodged schedules increased 14% over the four-year period from 2021-22 to 2024-25. Low-risk arrangements increased while high-risk disclosures decreased or remained flat.
Compliance activities address remaining risks
During 2025-26, the tax authority raised AUD 2.05 billion in income tax liabilities and approximately AUD 305 million in GST liabilities through compliance activities. An additional AUD 2.2 billion was paid voluntarily following prior engagement and preventative actions.
The authority settled 30 disputes involving public and multinational businesses, securing AUD 1.31 billion in tax revenue alongside future behavioural commitments and increased certainty for taxpayers. Global profit shifting, international related party dealings and cross-border investment structures remained key compliance focus areas, reflecting ongoing attention to sophisticated tax planning arrangements.
