The Australian government has released a draft law that would require major digital platforms like Meta, Google, and TikTok to pay a 2.25 percent tax on their local revenues unless they make voluntary business deals to pay Australian news publishers for content that appears on their services. On Tuesday, April 28, 2026, Prime Minister Anthony Albanese announced the News Bargaining Incentive (NBI). He said it was a key step to help Australian journalism stay alive as traditional media revenues fall.
The proposal is aimed at platforms in Australia that provide major social media or search services and make more than A$250 million a year in local revenue. It talks about problems with the 2021 News Media Bargaining Code, which is why Meta decided to take news off of Facebook and Instagram instead of renewing deals worth tens of millions of dollars a year. The new incentive tries to close this gap by applying the tax to all platforms, whether or not they carry news. It also offers big discounts to those who reach deals with publishers.
If platforms don’t make commercial deals, they would have to pay the full 2.25 percent fee on their Australian revenues. The money would go back into the news media sector, with a focus on helping smaller and regional outlets. Companies that enter into deals could get offsets of 150 to 170 percent against the tax, which could mean they don’t have to pay it at all. Any extra offsets would be carried over to future years. If a lot of people sign up for the plan, the government thinks it could bring in A$200 million to A$250 million a year for Australian journalism.
Nine, News Corp, and the ABC are just a few of the major Australian media companies that have praised the initiative as a crucial lifeline for an industry that has seen a lot of job losses and revenue drops. In a joint statement, they stressed that the measure protects democratic discourse by making sure that platforms pay their fair share for the news that keeps users interested and brings in advertising revenue.
Tech companies have made it clear that they don’t like it. Meta has called the proposal a “disguised digital services tax” and said it unfairly targets platforms. Google has also said it is worried about the need for these kinds of changes, and ByteDance, the parent company of TikTok, is in the same boat.
People can now give their thoughts on the draft law until May 18, 2026. The government wants to bring the bill to Parliament by the beginning of July. If it passes, it could go into effect on July 1, 2026, for the new financial year. This news strengthens Australia’s position as a leader in efforts to rebalance the relationship between global tech platforms and local news industries. Other countries, like Canada and many in Europe, have also taken similar steps. You can find all the information you need and how to submit your application on the Prime Minister’s and Treasury’s consultation websites.
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