Australia to tax Meta, Google and TikTok unless they pay local news publishers

Australia has unveiled draft legislation that would impose a new levy on major digital platforms such as Meta, Google and TikTok unless they voluntarily strike commercial agreements to compensate local publishers for news content shared across their services.

Under the proposed “News Bargaining Incentive,” the three companies would face a charge equal to 2.25% of their Australian revenue if they fail to negotiate payment deals with domestic media organisations.

Prime Minister Anthony Albanese said the policy is aimed at ensuring large multinational platforms contribute financially to the journalism that helps drive user engagement and advertising profits.

Communications Minister Anika Wells said Australians are increasingly consuming news directly through Facebook, TikTok and Google, making it “only fair” that those platforms support the reporters and publishers whose content enriches their feeds.

The draft law is designed to avoid a loophole that previously allowed platforms to sidestep payment obligations by reducing or removing news visibility.

Companies that do sign publisher agreements would be eligible for substantial offsets, giving them a financial incentive to make direct deals rather than pay the levy.

The Albanese government expects the scheme to channel as much as A$250 million annually back into Australia’s struggling journalism sector if implemented.

Public consultation on the proposal will run through May, with legislation expected to be introduced in parliament later this year.

The proposal has already sparked debate online, with some Australians supporting stronger protections for local journalism while others on Reddit questioned whether Big Tech would simply scale back news access again rather than pay.