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.

Subscribe here for up-to-date channel news

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Featured

Slideshows

StorageCraft celebrates high achievers at its inaugural A/NZ Partner Awards

StorageCraft celebrates high achievers at its inaugural A/NZ Partner Awards

Revealed at a glitzy bash in Sydney at the Ivy Penthouse, the first StorageCraft Partner Awards locally saw the vendor honour its top-performing partners with ASI Solutions, SMBiT Pro, Webroot, ACA Pacific and Soft Solutions New Zealand taking home the top awards. Photos by Maria Stefina.

StorageCraft celebrates high achievers at its inaugural A/NZ Partner Awards
Kiwi resellers make a splash on Synnex and Lenovo RotoVegas road trip

Kiwi resellers make a splash on Synnex and Lenovo RotoVegas road trip

​Synnex and Lenovo hosted 18 resellers for an action-packed weekend adventure in RotoVegas, taking in white water rafting on the Kaituna River, as well as quad biking and dinner at Stratosfare​, overlooking Lake Rotorua at the top of Mount Ngongotaha​. Photos by Synnex.

Kiwi resellers make a splash on Synnex and Lenovo RotoVegas road trip
Show Comments