Google NZ also had a related-party loan of $49.9m at 4.03% interest, up from the previous year’s $27.8m.

Less disclosure than rivals: academic

“Unlike its other close competitors operating in New Zealand – Meta and Amazon – Google does not disclose the amount of revenue it receives from customers in New Zealand and only reports its resale commission,” Auckland University senior lecturer in commercial law Victoria Plekhanova told the Herald.

“Google also does not disclose what services it purchases from related parties for over $1b and how it is able to pay for these services, given that its own income is only $87m,” Plekhanova said.

Tax bill down

Google NZ’s net profit was $25.9m – a 45% increase on 2024’s $17.8m.

Its income tax was $4.4m, down from the $5.6m paid in 2024.

Earlier this week, Revenue Minister Simon Watts discharged the Digital Services Tax Bill (introduced to the house under the Labour Government), which would have levied a flat 3% tax on Big Tech firms’ New Zealand revenue.

“We have been monitoring international developments and have decided not to progress the Digital Services Tax Bill at this time,” Watts said.

“A global solution has always been our preferred option, and we have been encouraged by the recent commitment of countries to the OECD work in this area.”

Earlier this year, US President Donald Trump said he did not support the OECD’s push to implement a global minimum corporate tax.

In September last year, Google said it would have to “reassess the manner in which it operates in New Zealand” if the “misconceived” Fair Digital News Bargaining Bill is passed into law.

In October, Google’s New Zealand country manager Caroline Rainsford said: “We’ve been transparent with the Government that if the bill were to proceed on its current trajectory and became law, we would be forced to make significant changes to our products and news investments.

“Specifically, we’d be forced to stop linking to news content on Google Search, Google News, or Discover surfaces in New Zealand and discontinue our current commercial agreements and ecosystem support with New Zealand news publishers.”

The Newpaper Publishers Association called Google’s tactics “corporate bullying”.

In December, the Herald reported that the bill – which would force tech giants to compensate news media companies for their journalism – had been put on hold.

Media and Communications Minister Paul Goldsmith said the legislation was not ready.

“We will evaluate how Australia’s legislation unfolds over the next few months, and if it lands well, consider whether or not we seek to shift our approach in that direction,” Goldsmith said.

Australia’s News Bargaining Code, introduced in 2021, saw Meta and Google agree to enter deals worth a total A$200m ($216m) with 30 media firms. But last year Meta said it would not renew A$70m worth of contacts.

Earlier this month, News Corp Australia, Nine Entertainment and Seven West Media called on Anthony Albanese’s Government to confirm a timeline for tightening the code.

In February, Trump threatened unspecified retaliation against what he called Australia’s “plundering” of US tech firms.

Ahead of the New Zealand legislation, Google made small-scale deals with a number New Zealand media firms, including NZME – the owner of the New Zealand Herald. The deals are not being renewed.

Google has been asked for comment.

Chris Keall is an Auckland-based member of the Herald‘s business team. He joined the Herald in 2018 and is the technology editor and a senior business writer.