Australia’s High Court has ruled Uber is liable for an estimated A$81 million in payroll taxes in New South Wales, ending a lengthy legal battle.
The court dismissed Uber’s appeal, finding that payments to rideshare drivers count as wages under state law and are subject to payroll tax. The case covered the period from 2015 to 2020.
Uber argued it acted as a payment collection agent for independent contractors, rather than as an employer paying wages. In a 6-1 decision, the court’s majority found that the contractual relationship meant driver payments were wages for tax purposes.
The ruling is final and could have broader implications for other gig economy platforms in Australia, potentially increasing payroll tax obligations across the sector.