8COMMON Ltd Lands $1.95m ATO Contract for Expense8
ATO signs 3-year Expense8 contract worth $1.95m, expanding 8common’s Commonwealth footprint
8common Limited (ASX: 8CO) has confirmed that its wholly-owned subsidiary Expense8 has signed a 3-year contract with the Australian Taxation Office (ATO). The agreement carries a Total Contract Value (TCV) of $1.95 million including GST, structured as a 3-year fixed term with 3 x 1-year extension options.
With over 20,000 users, the ATO represents a significant large-scale Commonwealth Government deployment for Expense8. The win expands the Company’s government base and adds to its recurring software-as-a-service (SaaS) revenue visibility.
When big ASX news breaks, our subscribers know first
Contract secures a major Commonwealth agency
The contract covers Expense8 SaaS, transaction and related services across the full term. The Total Contract Value (TCV) of $1.95 million including GST reflects the scale of onboarding a Commonwealth agency of this size.
Revenue under the contract is expected to be recognised over the 3-year term upon “go-live,” subject to normal implementation and service delivery timing. This is anticipated to occur in FY28, meaning revenue is not expected to commence immediately.
The implementation component, which Expense8 is likely to be included in, remains pending finalisation. Further details will be provided by the Company when appropriate.
| Metric | Detail |
|---|---|
| Total Contract Value | $1.95m (incl. GST) |
| Contract term | 3-year fixed |
| Extension options | 3 x 1-year |
| ATO users | 20,000+ |
| Revenue recognition | From go-live, anticipated FY28 |
A trusted provider across Australian Government
The ATO contract builds on 8common’s existing footprint across the Australian public sector. Expense8 currently supports a broad network of government and enterprise clients through its travel and expense management platform.
Key footprint figures include:
-
More than 190 state and federal government entities
-
More than 195,000 platform users
-
50,000 users within Federal government already on Expense8
-
Service across the Federal, New South Wales and Northern Territory governments
Beyond government, enterprise customers include Woolworths, Broadcast Australia and Amcor. The addition of the ATO brings a strategically important and complex agency into the customer base, reinforcing Expense8’s suitability for large government organisations.
CEO Commentary
“We are delighted to welcome the Australian Taxation Office to the Expense8 platform. The ATO is a strategically important Commonwealth Government agency with over 20,000 users, and this contract further strengthens 8common’s position as a trusted provider of enterprise-grade travel and expense management software across the Australian Government. Expense8 has been designed for complex government environments, with strong policy compliance, auditability and workflow controls. The scale of the ATO deployment highlights the suitability of Expense8 for large, complex government organisations and provides further support for recurring SaaS revenue and long-term customer growth,” said Andrew Bond, Chief Executive Officer of 8common.
What is travel and expense management software — and why it matters here
Travel and Expense Management (TEM) software manages employee travel bookings, expense claims and card spending within a single system. It typically incorporates built-in policy compliance, auditability and workflow controls, helping organisations track spending and reduce the risk of fraud.
Expense8 is delivered under a SaaS model. Rather than a one-off software sale, customers pay an ongoing subscription, which generates recurring revenue for the provider over the life of the contract.
For investors, this model matters. Recurring SaaS revenue creates more predictable and visible income streams compared with one-time sales. Large government clients also tend to be long-term and high-retention, and complex deployments across thousands of users create high switching costs once a platform is embedded. These characteristics can support revenue stability over multi-year horizons.
The next major ASX story will hit our subscribers first
Why the ATO win strengthens the investment case
The contract expands 8common’s recurring SaaS revenue base, deepens its penetration within the Commonwealth Government, and validates Expense8’s enterprise-grade positioning for complex, large-scale organisations.
Key forward-looking points based on disclosed facts include:
-
Revenue is phased over the 3-year term from go-live, anticipated in FY28.
-
Potential upside exists from the pending implementation component, with details to be confirmed.
-
The 3 x 1-year extension options offer potential contract longevity beyond the initial term.
-
The win reinforces a growing base of more than 195,000 platform users and 190+ government entities.
Only the $1.95 million TCV has been disclosed, with no per-year revenue split provided. With Expense8 already supporting 50,000 users within Federal government, the ATO agreement adds further depth to an established Commonwealth footprint rather than marking a first entry into the sector.
Don’t Miss the Next ASX Tech Contract Winner
Get FREE breaking ASX tech news delivered to your inbox within minutes of release, complete with in-depth analysis already done for you. Join 20,000+ subscribers staying ahead of the market the moment announcements drop. Click the “Free Alerts” button at StockWire X to start receiving alerts before the market moves.
