Oil and gas giant Chevron could pay up to AUD$310 million in tax and fines, following a Federal Court ruling in the Australian Tax Office’s case.
The International Transport Workers, that had recently issued a report on Chevron’s tax schemes on its Gorgon LNG project, revealed that the company will have to pay over AUD$250 million in back taxes and an estimated AUD$60 million in fines.
The company is likely to appeal the court’s decision.
Paddy Crumlin, ITF President said, “The scheme rejected today was for $2.5 billion in high-interest related party debt.”
ITF earlier said that Chevron has already set aside AUD$352 million to settle the lawsuit with Australian Tax Office, but that the company had also developed a new tax avoidance scheme.
ATO is currently reviewing the high-interest party loan from a Delaware subsidiary worth more than AUD$35 billion, ITF said.
1 Australian dollar = 0.722005 U.S. dollars
LNG World News Staff; Image: Chevron