Alumina is an ASX listed Australian resource company which owns 40% of the world’s largest bauxite and alumina business, Alcoa World Alumina and Chemicals (AWAC). Our partner in AWAC is Alcoa Inc., which owns the remaining 60% and manages the day-to-day operations.
The significant majority of Alumina’s income reported for the year relates to Australian and foreign dividend income from the company’s investments in AWAC. Under Australian income tax law, Alumina is entitled to reduce its tax payable by claiming credits (franking credits) in relation to Australian dividend income. This is to prevent double taxation because Australian tax has already paid by AWAC’s Australian company on its operating income. No Australian tax is payable on the foreign dividends as the income is exempt under Australian income tax law because Alumina holds a greater than 10% stake in the foreign companies. Consequently Alumina paid no tax in its own right for the year.
Alumina’s tax affairs are overseen at an appropriate level and controls are in place to ensure that tax matters are reported to the Board and Audit & Risk Management Committee on a bi-annual basis.
Our organisation acts with integrity and transparency in all tax matters and we meet all of our obligations under the tax law. We maintain positive working relationships with Tax Authorities which is supported by the fact that the ATO has assessed Alumina as being low risk and we do not have any outstanding disputes with the ATO or any other Tax Authorities.
Alumina manages its tax affairs according to the highest standards of business conduct, which includes compliance with applicable law, as set out in our Code of Conduct.
For investor enquiries:
Chief Financial Officer
Phone: +61 3 8699 2607
Investor Relations Manager
Phone: +61 3 8699 2613
For media enquiries:
Hinton and Associates
Phone: +61 3 9600 1979
Mobile: +61 408 441 122