Arab Today, arab today apple to pay italy €318m
Last Updated : GMT 13:45:13
Arab Today, arab today
Arab Today, arab today

To settle tax fraud probe

Apple to pay Italy €318m

Arab Today, arab today

Arab Today, arab today Apple to pay Italy €318m

Apple's Italian subsidiary has been under investigation
Rome - Arab Today

Apple has agreed to pay Italy 318 million euros ($348 million) to settle a tax dispute after the US tech giant was investigated for suspected fraud, the country's tax agency said Tuesday.

The company's Italian subsidiary and several of its senior executives had been under investigation for fraud over its alleged failure to comply with obligations to declare its earnings in Italy between 2008 and 2013.

According to Italian daily La Repubblica, Apple Italia should have paid corporation tax of 880 million euros for the period.

After months of negotiations, the tax authorities agreed to close the case in return for a cheque for 318 million.

A spokesman for the tax agency confirmed the newspaper's report was accurate but would not divulge further details.

Apple Italia did not respond to a request for comment on a case which could set a precedent for other European countries' dealings with the company.

The settlement comes against a backdrop of mounting controversy over the tax arrangements of multinational groups who use cross-border corporate structures to reduce their tax bills, sometimes with the help of secret and potentially illegal 'sweetheart' deals.

Apple Italia is part of the company's European operation which is headquartered in Ireland, a country with one of the lowest levels of corporation tax in the European Union.

Ireland taxes corporate earnings from normal business activities at a rate of 12.5 percent, which compares with a standard 27.5 percent rate in Italy.
Earlier this month, Apple chief Tim Cook described accusations that the world's richest company was sidestepping US taxes by stashing cash overseas as "political crap" and insisted: "We pay every tax dollar we owe."

The settlement of the tax dispute will not halt the criminal investigation into the conduct of three Apple Italia executives but will likely reduce the severity of any sanctions they may face, La Repubblica said.

- 'Perfectly legal' -

Apple's activities in Ireland are currently under investigation by the European Commission, which is due to announce soon whether tax breaks designed to secure the company's extensive investment in Ireland amounted to illegal state aid.

Apple's European operations have been headquartered at the southern city of Cork since 1980.

The company is in the process of expanding its workforce there to 6,000 and it has been followed into Ireland by other US tech firms including Twitter, Microsoft and Google.

Cook said on a visit to Ireland in November that he was confident the Dublin government and his company would be found to have done nothing wrong.

The issue of Apple's Irish arrangements is separate from but related to the broader one of multinational companies 'parking' revenues and profits in low-tax countries.

That issue has attracted increasing attention from lawmakers across Europe who argue that taxes should be paid in the countries where sales and profits are generated.
In October, the European Commission ordered both Italian auto giant Fiat and coffee chain Starbucks to pay around 30 million euros ($34 million) in back taxes after they were found to have benefited from illegal deals in, respectively, Luxembourg and the Netherlands.

The ruling followed the so-called 'LuxLeaks' revelations that multinationals including Pepsi and Ikea had negotiated tax rates as low as one percent in return for headquartering their European activities in tiny Luxembourg.

The Luxembourg arrangements of online retailer Amazon and fast food giant McDonalds are also being scrutinised by Brussels.

The Grand Duchy is challenging the Fiat ruling through the European Court of Justice, arguing that most other EU states also offer special fiscal incentives to attract inward investment.

In the United States, Apple has come under fire in Congress for not declaring overseas earnings to the US tax authorities.

Cook has defended this as perfectly legal and sensible given that the company would be liable for 40% taxation if it repatriated all its earnings to the United States. "We have a tax code made for the Industrial Age, not the Digital Age," he complained in November.
Source: AFP

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today apple to pay italy €318m Arab Today, arab today apple to pay italy €318m

 



Arab Today, arab today
Arab Today, arab today Fadi explains secrets of  Nancy Ajram's newlook

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars

GMT 06:21 2017 Monday ,20 February

Decline of Iraq’s foreign reserves to $49bn

GMT 18:15 2017 Sunday ,19 February

Official accuses militias of challenging companies

GMT 06:51 2017 Saturday ,18 February

Blames government for economic crisis

GMT 06:35 2017 Saturday ,18 February

MP calls for re-operating closed companies

GMT 13:35 2017 Friday ,17 February

Confirms Britain is biggest investor in Egypt

GMT 15:55 2017 Thursday ,16 February

Egyptian foods completely unobserved nor healthy

GMT 11:18 2017 Wednesday ,15 February

Reveals plan to get out of financial crisis
View News in Arabic - Business: أخبار الاقتصاد
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Ola Ghanem hopes to work with M.Ramadan

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday