Menu
Apple missed deadline to pay €13 billion in Irish back taxes

Apple missed deadline to pay €13 billion in Irish back taxes

Competition Commissioner Margrethe Vestager, who gave the Irish government four months to collect the taxes from Apple, is proving very understanding about the delay.


										IDG Worldwide


IDG Worldwide

Apple is behind with its taxes, but the tax inspector doesn't mind.

Last August, the European Commission closed a three-year investigation of Apple's tax affairs with an order to the Irish government that it should recover about €13 billion (US$14.5 billion) in taxes that it believed Apple had underpaid over the last decade.

Ireland has missed the deadline for recovering the billions, but Competition Commissioner Margrethe Vestager, who gave the Irish government four months to collect the taxes, is proving very understanding about the delay.

"The recovering is not done yet but we have been working with the Irish authorities and we can see that they are moving forward to do the recovery of the unpaid taxes," she said at a news conference in Dublin on Tuesday.

"It's a tricky thing to do because it's a large sum, so of course you have to figure out how to do that. It's not an escrow account as in some of the other cases where it's €25 million or €30 million or something like that," she said. "I do respect that it's a complicated matter and it may take a little more time than being within the deadline."

Apple, naturally, is appealing the Commission's decision, which its CEO Tim Cook famously described as "total political crap" -- but the Irish government is appealing too, even as it pursues Apple for payment.

When those appeals will be heard by the European Court of Justice remains to be seen.

"The calendar is completely within the hands of the court, so I know nothing of the timing of when it will be decided upon," Vestager said.

In its investigation, the Commission found that Apple's effective tax rate on profits funneled through two Irish subsidiaries was around 0.05 percent, falling to 0.005 percent in 2014. Apple's U.S. parent company expects that for the first quarter of its 2017 fiscal year, which it will report later Tuesday, it will pay tax at the rate of around 26 percent.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Events

Why experience is the new battleground for partners

Join us for an exclusive webinar, in association with Hewlett Packard Enterprise and Technology Services Industry Association (TSIA) and learn about the latest industry insights and how technology services continue to evolve to deliver differentiated value, and how partners can be successful in 2021 and beyond.

Featured

Slideshows

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

Hundreds of leaders from the New Zealand IT industry gathered at the Hilton in Auckland on 17 November to celebrate the finest female talent in the Kiwi channel and recognise the winners of the Reseller News Women in ICT Awards (WIICTA) 2020.

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards
Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards

Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards

The leading female front runners of the New Zealand ICT industry joined together for the annual Reseller News Women in ICT Awards event at the Hilton in Auckland, during which hundreds of guests celebrated 13 outstanding individuals who won awards, chosen from more than 50 finalists representing over 30 organisations.

Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards
Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners

Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners

More than 500 channel leaders gathered in Auckland on 21 October at the ​Reseller News Innovation Awards ​2020 to celebrate the achievements of the New Zealand technology industry's top partners, start-ups, vendors, distributors and individuals.

Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners
Show Comments