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Significant global entities

Entities that meet the definition of a SGE but do not identify as one on their tax return or fail to lodge documents.

Last updated 30 April 2023

Certain measures only apply to entities that meet the definition of a significant global entity (SGE). Subdivision 960-U of ITAA 1997 currently defines SGE as a global parent entity or member of that global parent entity’s group with annual global income of A$1 billion or more. The SGE concept is not limited to entities that are members of a multinational group. An SGE can also be an entity in a group that only operates in Australia.

Amendments to the law in 2020 extended the definition of SGE to include:

  • groups headed by individuals
  • trusts
  • partnerships
  • private companies.

The amendments apply in relation to income years or periods commencing on or after 1 July 2019 with penalties applying from 1 July 2020 to entities that were not previously SGEs. SGEs may be subject to increased penalties and compliance measures including:

We focus on entities that:

  • meet the SGE definition but do not identify as one on their tax return
  • fail to lodge relevant and complete documentation as required.