Wesfarmers reports robust 2025 tax contribution and economic impact

Wesfarmers Limited announced its 2025 Tax Contribution Report, highlighting total global tax contributions of $1.6 bn for the financial year. Of this, $1.5 bn was attributed to Australian tax contributions borne by the company, with Australian income tax expense reaching $1,056m and Australian payroll tax at $326m. The company's Australian operations, excluding significant items, recorded an effective company tax rate of 30.6%, while including significant items, the rate was 28.3%.

In addition to taxes borne, Wesfarmers collected and remitted $2.7 bn on behalf of the Australian Government. This included $1,684m in net GST and $1,003m in employee PAYG withholding taxes. The report noted that the Group generated $46.3 bn in wealth during the year, distributing $6.5 bn to team members, $2.3 bn to shareholders as dividends, and reinvesting $1.4 bn back into the business.

The company's approach to tax strategy emphasizes full compliance, conservative risk management, and transparent engagement with tax authorities, maintaining a "justified trust" rating with the ATO. Wesfarmers also confirmed that no current tax liability related to Pillar Two has been recognised for the reporting period, as all jurisdictions met the transitional country-by-country safe harbour or had an effective tax rate exceeding 15%.