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Demographics of large corporate groups

How the demographics of large corporate groups in Australia significantly impact revenue.

Last updated 31 October 2024

About large corporate groups

Large corporate groups make a significant contribution to the Australian economy and play a critical role in the tax system. They're important in creating community confidence in our tax system. Confidence is gained directly by their tax contribution, and indirectly because their compliance underpins willing participation in other taxpayer segments.

Definition of a large corporate group

We define a large corporate group as one with a group turnover greater than $250 million. There are approximately 2,081 large corporate groups with more than 8,500 income tax reporting entities in Australia. This represents around 37,000 active companies. These groups include Australian public, Australian private and majority foreign-owned businesses.

Large corporate groups – ownership, 2022–23

The large corporate groups ownership for 2022–23. Of the 2,081 corporate groups: 29% (610) are Australian, owned by private companies; 26% (528) are Australian, owned by public companies; and 45% (943) are majority foreign owned.

Large corporate groups – income tax lodgments, 2022–23

The income tax returns by large corporate groups for 2022–23. Of the 8,625 income tax returns: 23% (1,951) are lodged by Australian owned private companies; 35% (3,007) are lodged by Australian owned public companies; and 42% (3,667) are lodged by majority foreign-owned companies.

Large corporate groups – total business income, 2022–23

The total business income for large corporate groups for 2022–23. Of the $2.9 trillion total business income: - majority foreign-owned businesses account for 43% ($1,264.6 billion) - Australian-owned private companies account for 6% ($180.3 billion) - Australian businesses owned by public companies account for 51% ($1,476.0 billion).

Large corporate groups – total profits, 2022–23

The total profits for large corporate groups in 2022–23. Of the $489 billion total profits: the share for majority foreign-owned businesses was 43% ($211.8 billion); the share for Australian-owned private companies was 3% ($15.9 billion); and the share for businesses owned by Australian public companies was 54% ($261.3 billion).

How much tax large corporate groups pay

The amount of tax payable by large corporate groups has increased sharply since the 2020 financial year and generally reflects changes in:

  • economic conditions
  • commodity prices including iron ore, coal, oil and gas
  • fluctuations in the Australian dollar (AUD).

In recent years, the increase in tax reflects significant compliance payments from the oil and gas industry. This is due to ATO intervention aimed at ensuring multinationals pay the right amount of tax.

Large corporate groups – contribution to tax revenue, 2017–18 to 2022–23

The contribution to tax revenue from 2017–18 to 2022–23 for large corporate groups, divided among the following sectors: - Large Diversified Miners - Oil and Gas - Other Mining, Energy and Water - Other Financial Services - Major Banks - Wholesale, Retail and Services - Manufacturing, Construction and Agriculture.

You can also view data for Large corporate groups – contribution to tax revenue, 2017–18 to 2022–23 in table format.

The number of large corporate groups in the Australian tax system is comparatively small, yet the impact they have on revenue is significant. The groups contribute a significant proportion to overall corporate income tax collections.

Large corporate groups – contribution to tax revenue, and concentration of tax contribution 2022–23

There are 4 infographics: - The first infographic shows that in 2022–23 there were 2,081 large corporate groups, each with a turnover above $250 million, that collectively generated $2.9 trillion in total business income and $95.6 billion of the $137.6 billion in corporate income tax reported. - The second infographic shows the tax contribution from these 2,081 large corporate groups is equivalent to around 69% of all corporate income tax reported and 18% of total ATO tax collections. - The third infographic shows the largest 10 corporate groups reported $40.9 billion or 30% of all corporate income tax reported. - The fourth infographic shows the largest 100 corporate groups reported $75.0 billion or 55% of all corporate income tax reported.

While Australian public businesses only make up 26% of these 2,081 large corporate groups, they pay 57% of the corporate income tax, against 51% of the gross income, for this group. This is driven by the significant profits earned by a relatively small number of very large Australian-owned groups. Once these companies are excluded, the overall performance of other Australian public companies, private companies and majority foreign-owned companies are relatively similar.

Large corporate groups – ownership and tax contribution, 2022–23

The ownership and tax contribution of large corporate groups in 2022–23. Of the $95.6 billion tax reported: majority foreign-owned businesses account for 40% ($38.0 billion); Australian-owned private companies account for 3% ($2.6 billion); and businesses owned by Australian public companies account for 57% ($55.0 billion).

Large corporate groups are involved in a diverse range of sectors across the economy. Those in banking, finance and investment, mining, energy and water industries:

  • are less than one-quarter (23%) of all large corporate groups
  • earn more than one-third (39%) of business income
  • contribute more than two-thirds (74%) of large corporate income tax.

Large corporate groups – industry demographics (income tax lodgments), 2022–23

The industry demographics for large corporate groups in 2022–23, by industry sector based on income tax lodgments. Of the 8,625 income tax returns lodged by large corporate groups: 54% are Wholesale, Retail and Services 5% are Insurance 6% are Mining, Energy and Water 17% are Banking, Finance and Investment 18% are Manufacturing, Construction and Agriculture.

Large corporate groups – industry demographics (business income), 2022–23

The total business income reported by large corporate groups for 2022–23, by industry sector. Of the $2.9 trillion total business income: 42% came from Wholesale, Retail and Services 14% from Manufacturing, Construction and Agriculture 5% from Insurance 14% from Banking, Finance and Investment 25% from Mining, Energy and Water.

Large corporate groups – industry demographics (tax reported), 2022–23

The tax reported of large corporate groups for 2022–23, by industry sector. Of the $95.6 billion tax reported: 19% came from Wholesale, Retail and Services 5% from Manufacturing, Construction and Agriculture 2% from Insurance 16% from Banking, Finance and Investment 58% from Mining, Energy and Water.

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