Apple, Google Excused from Irish Tax Questioning
July 5, 2013 4:37 PM
comment(s) - last by
There will be an inquiry into how Ireland uses the "global tax architecture," but the questioning will no longer require the presence of company executives
Apple and Google are off the hook when it comes to an investigation into how they
use the Irish tax system
Apple, Google and other multinational companies were originally called to talk about their tax setups in Ireland; as such arrangements had come under fire recently. The companies were accused of dodging taxes in other countries by a special route through Ireland.
However, Ciaran Lynch, chairman of the Irish parliament's finance committee, has cleared company executives from Apple and Google from having to explain their tax situations with Ireland. According to Lynch, there's no need for Ireland to have a tax investigation when the U.S.'s Senate subcommittee and the UK's public accounts committee are doing the same already.
"If there has been suggestions that companies have been 'off side' on tax, then the right people to go are those who make the rules," said Lynch. "You don't go to Manchester United or Chelsea when they're accused of being offside – you go to the referee, or to Fifa or Uefa."
Lynch will, however, have an inquiry into how Ireland uses the "global tax architecture," but the questioning will no longer require the presence of company executives.
In April 2012,
The New York Times
accused Apple of dodging millions of dollars
in taxes in California and 20 other U.S. states (and dodging billions of dollars in
) by routing its money through other locations. Even though Apple is based in Cupertino, California, it put an office in Reno, Nevada which allows Apple to escape California's 8.84 percent tax rate for Nevada's 0 percent. Apple has also sold digital content from low-tax countries anywhere around the world, and has used the "Double Irish With a Dutch Sandwich," which allows Apple to cut taxes by directing profits through low-cost Irish subsidiaries, the Netherlands and the Caribbean.
In May of this year, Apple CEO Tim Cook was called to appear before Congress to offer tax proposals. More specifically, he presented proposals that discuss companies bringing back foreign earnings to the United States. Furthermore, he suggested that this money be invested in research and development and creating jobs in the U.S.
Apple had come under fire for dodging heavy tax payments by profit shifting. For example, Apple made an estimated £6B ($9.50B USD) in Britain last year, but
paid only £10M ($15.8M USD) in taxes
. It was able to do this because of the British tax code's rule that largely exempts companies based in Ireland from paying British taxes.
This article is over a month old, voting and posting comments is disabled
7/6/2013 2:47:29 PM
It's not fair to say one "must" or "must not" contribute to "society".
One man's society is another man's oppressive regime. Or are you one of those oppressive people who demand I have your opinion?
My advice? Loosen up homey.
"Intel is investing heavily (think gazillions of dollars and bazillions of engineering man hours) in resources to create an Intel host controllers spec in order to speed time to market of the USB 3.0 technology." -- Intel blogger Nick Knupffer
Apple's Tim Cook to Talk Profit Shifting, Taxes at U.S. Senate Hearing
May 20, 2013, 1:44 PM
NYT Accuses Apple of Dodging Billions in Taxes, Apple Denies Claims
April 30, 2012, 9:14 AM
Apple Makes $9.5B USD in Britain, Pays Only 0.16% in Taxes; Google Also Targeted
April 10, 2012, 5:46 PM
Google's Proposals for Search Antitrust Settlement Shot Down by European Commission
December 20, 2013, 8:52 PM
E-Cigarettes Included in NYC's Smoking Ban
December 20, 2013, 4:00 PM
BlackBerry Partners with Foxconn for BB10 Devices
December 20, 2013, 10:43 AM
3D Systems Acquires Xerox’s Solid Ink Teams in Oregon
December 18, 2013, 7:54 PM
While FCC Debates Allowing In-flight Voice Calls, Delta is Already Saying “Nope”
December 18, 2013, 12:11 PM
New Mac Pro Launches Tomorrow, Starts at $2,999
December 18, 2013, 10:56 AM
Most Popular Articles
China's Moon Rover Lands Safe and Sound, Starts Snapping Pics
December 16, 2013, 1:22 PM
Top Microsoft Graphics Genius Defects to Google
December 17, 2013, 4:27 PM
Report: Fusion Fail? Softbank Wants to Merge Sprint and T-Mobile
December 15, 2013, 6:12 PM
NSA Debates Granting Snowden Amnesty if He Keeps His Mouth Shut
December 16, 2013, 1:17 PM
Harvard Undergrad Busted by Wi-Fi after Making Bomb Threat to Avoid Finals
December 18, 2013, 10:37 AM
Latest Blog Posts
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
Global Cyber Espionage Concerns Reveal Growing Cyber Armies
Nov 29, 2013, 11:04 AM
Is The Period Becoming an Expression of Anger?
Nov 26, 2013, 2:02 PM
NSA and Congress -- You Will Never Kill the Constitution, It's an Idea
Nov 10, 2013, 2:00 PM
AT&T Explores $100B+ USD Deal to Acquire Vodafone's European Operations
Nov 4, 2013, 7:34 AM
More Blog Posts
Copyright 2013 DailyTech LLC. -
Terms, Conditions & Privacy Information