Week in Insights: Australian News Tax to Even Out Digital Economy

Australia’s recently proposed News Bargaining Incentive, essentially a “news tax” targeting large tech companies, appears to be a lifeline for journalism. It also reflects a growing push to make those companies pay for the value they extract from local economies.

The levy would begin in tax year 2025 and targets digital platforms with annual revenue from Australia exceeding AU$250 million ($156 million).

The proposal can be viewed as part of a global trend to use tax policy to redistribute profits between sectors and countries. Digital platforms have long benefited from content ecosystems they neither create nor directly support—whether ...