Technology giant Apple has been accused by a US Senate committee of tax evasion for allegedly exploiting the differences between American and Irish tax laws.
According to the Senate Permanent Subcommittee on Investigations, Apple has not acted illegally but by using an unusual tax structure has managed to keep billions of dollars of profits tax-free in Irish subsidiaries. The report comes a day before Apple’s CEO is due to testify before Congress on the matter.
The main subsidiary, which includes Apple’s retail stores throughout Europe, has not paid any tax in the last five years. The Senate report shows that the Cork-based subsidiary received $29.9 billion in dividends from 2009-2012, which equates to 30 percent of Apple’s total worldwide net profits.
Apple has denied the claims saying it does not use “tax gimmicks“ and indicated it paid nearly $6 billion in taxes to the US Treasury in 2012.
But committee member John McCain told reporters: “Apple claims to be the largest US corporate taxpayer, but by sheer size and scale, it is also among America’s largest tax avoiders.”
The Senate group is examining the methods used by large corporations to move profits offshore. Many large firms avoid repatriating their foreign earnings to escape the top 35% tax rate.
Ireland has said it is not to blame for Apple’s low global tax payments. Deputy Prime Minister Eamon Gilmore told Irish station RTE, “They are not issues that arise from the Irish taxation system…They are issues that arise from the taxation systems in other jurisdictions”.
- 1euronews live TV - News | euronews : the latest international news as video on demand
- 2Russia unveils ‘straight’ flag, internet responds
- 3Seven reasons why Yanis Varoufakis is now a political legend
- 4Greek crisis: ‘Agreement reached’ after marathon talks
- 5International news | euronews, latest international news
- 6Nasa announces the discovery of an earth-like planet
- 7French actor Gérard Depardieu ‘a threat to Ukraine national security’
- 8Is Saudi Arabia outlawing rainbows for being gay?
- 9Pluto: New Horizons space probe provides closest-ever pictures
- 10Latest News Bulletin
- 11International breaking news | euronews online world breaking news in video
- 12BREAKING: Formal nuclear deal reached with Iran, says diplomat
- 13Greece votes ‘No’ in overwhelming rejection of bailout proposals
- 14‘Imposed’ bailout deal must be implemented, says Greek PM
- 15At least 10 dead in explosion in Turkish town close to border with Syria
- 16Greece clinches deal with eurogroup after marathon talks
- 17Berlusconi linked with a shock return to government – in Russia!
- 18Israel angry as Iran and West talk up nuclear deal
- 19Varoufakis resigns after Greek referendum
- 20European Union News | euronews: latest breaking news and headlines about European Union
Latest world news
MH370 suspected flaperon arrives for idenification at BEA, Toulouse
Scuffles at British side of Channel Tunnel in Kent over Calais migrants
Aung San Suu Kyi welcoms Angela Jolie to Myanmar
West Bank: Hundreds attend funeral for Palestinian protester amid increased tensions
Trans-Pacific Partnership talks fail to deliver regional trade deal
Wires > News
- 06:07 CET Five found shot to death in Mexico City apartment
- 23:06 CET Finland must watch far-right closely after violent rally – minister
- 20:11 CET Kurdish militia in Syria accuses Turkey of ‘provocative’ attacks
- 18:19 CET Egypt extends for six months military mandate in Gulf, Red Sea
- 18:03 CET Iran’s parliament has no power over nuclear deal, top negotiator…
- 17:29 CET Merkel to run for 4th term in 2017 – Der Spiegel
- 17:17 CET Dutch activists call for Caribbean Netherlands to adopt gay rights
- 17:09 CET Iraq’s Barzani condemns Turkish bombing he says killed civilians