Taxes paid and benefits to the Australian economy

MYTH

Woodside doesn't pay its fair share of taxes.

FACT

· Woodside is the largest payer of Petroleum Resource Rent Tax (PRRT) and among Australia’s top tax contributors.¹

· A record A$5.0 billion was paid by Woodside in Australian taxes, royalties and levies to the Commonwealth and State governments in 2023, an 85% increase from 2022.

· We also reported a 42% all-in effective tax rate in respect of our global profits in 2023.²

· Since 2011 Woodside has paid more than A$18 billion in Australian taxes, royalties and levies. In this same time period, Woodside has also paid wages to Australian employees which have generated A$4.1 billion in Pay as you go (PAYG) withholding – which goes back into towns, communities and cities all over Australia. ³

· This illustrates that when Woodside performs well, the State and Federal governments, and more importantly Australian communities, enjoy significant benefits too.

Who pays Woodside’s taxes in Australia?

· Our Australian taxes are paid by a number of Woodside entities, such as: Woodside Energy Group Ltd; the 90% owned ‘Burrup’ entities, Burrup Facilities Company Pty Ltd and Burrup Train 1 Pty Ltd, which support our Pluto Project; Woodside Energy (Bass Strait) Pty Ltd; and Woodside Energy (Australia) Pty Ltd.

· The data reported in the Australian Taxation Office (ATO) 2021-22 Report of entity tax information highlights that Woodside pays income tax and Petroleum Resource Rent Tax (PRRT).

· For more information refer to our media release.

Does Woodside pay Petroleum Resource Rent Tax (PRRT) in Australia?

· Yes, in fact we are the largest PRRT payer.⁴

· Since the PRRT has applied, Woodside has paid more than A$20 billion across our merged portfolio to 2023.⁵

· In addition, the Woodside operated North West Shelf project has paid A$40 billion in Federal Royalties and Excise since starting production to 2023 (100% venture).⁶

Is Woodside an open and transparent taxpayer?

· Yes. In Australia, where Woodside is headquartered and has substantial economic activity, we are subject to the ATO’s Justified Trust program, designed to assure that companies are paying the right amount of tax.

· Woodside also actively participates in several environmental, social and governance rating indices. Our tax transparency has been recognised as being within the leading group of our industry peers. ⁷

For more information on our tax contribution click here.

^{1 Based on the ATO’s 2021-2022 report of entity tax information which can be located via www.data.gov.au}

^{2 Determined by total tax expense, royalties, excise, levies and other taxes, divided by profit before such taxes, adjusted for exceptional items. The all-in effective tax rate increases to 57% for 2023 with exceptional items included.}

^{3 Includes data relevant to the assets acquired through the merger with BHP’s petroleum business from 1 June 2022.}

^{4 Based on the ATO’s 2021-2022 report of entity tax information which can be located via www.data.gov.au}

^{5 Includes data relevant to the assets acquired through the merger with BHP’s petroleum business both before and from 1 June 2022.}

^{6 Based on amounts collected by the Australian Government in Federal Budget papers from 1984 to 2023 and other records. The main form of taxation on the NWS project has always been Federal Royalties and Federal Excise but this project is also subject to PRRT.}

^{7 This is based on Woodside’s current approach to reporting available here and as assessed by several global sustainability rating indices.}