High court orders Uber to pay $81 million in back payroll tax
Australia's high court ruled 6-1 that Uber drivers are employees and Uber owes $81 million in payroll tax.
Australia's high court dismissed Uber's appeal against a payroll tax bill on Wednesday. The court ruled 6-1 that Uber drivers are employees and their pay counts as wages under New South Wales law.
Uber is liable for $81 million covering 2015 to 2020. The ruling is likely to trigger additional bills for later years, pushing the total well over $100 million.
The court noted that Uber has control over fares before drivers receive payment. The company can deduct fees or cancel rides entirely.
Chief Justice Stephen Gageler wrote that payroll tax law has adapted to capture gig economy arrangements intended to disguise true working relationships.
- 6-1 decision
- Court vote
- $81 million
- Tax owed
- 2015 to 2020
- Period covered
- Over $100 million
- Projected total liability
Why it mattersThis sets a precedent for how Australian courts treat gig economy workers. It may influence how other courts classify workers and their legal status across all industries.
AustraliaOther ride-share and delivery platforms operating in Australia may face similar payroll tax claims from revenue offices in their states.
✓ Claims checked against the source. checked 8 d ago
