Chief Executive David Allott said the ACA would provide greater clarity and certainty around tax matters.
“We welcome the level of transparency the ACA brings to our tax affairs and this gives us the opportunity to discuss technical matters with the ATO officers in real time. The ACA should reduce our tax compliance costs and assist the ATO to gain the level of confidence it requires,” he said.
“The opportunity to enter into a compliance arrangement for these taxes reinforces BAE Systems’ best practice in tax management.”
Mr Allott described the ACA as a huge step forward: “This agreement is among the first between the ATO and a major defence company and it ensures that BAE Systems has an effective way to manage its ongoing tax compliance obligations.”
Tax Commissioner Michael D'Ascenzo said he was pleased to sign the arrangement with BAE Systems.
“ACAs improve practical certainty for businesses by considering tax risks in real time and complement other products and services we offer, such as our rulings program. It offers a 'no surprises' approach which benefits both of us,” said Mr D’Ascenzo.
The ACA was signed (today in Adelaide) by BAE Systems Finance Director Alan Osborne and ATO Commissioner Michael D’Ascenzo.
The Annual Compliance Arrangement between BAE Systems and the ATO will begin immediately.
For further information contact:
Simon Latimer, BAE Systems
Tel: +61 (0) 401 674 110