“Apple may once again come under the spotlight over taxes, as the iPhone maker’s latest filings reveal that it paid no corporate taxes in the United Kingdom last year, despite having pulled in billions of dollars from its European operations,” Kevin Bostic reports for AppleInsider.
“Deductions from share awards to employees essentially negated Apple’s corporate tax liabilities in the UK through September of last year, The Financial Times reported this week,” Bostic reports. “Apple’s U.K. subsidiaries — Apple (U.K.), Apple Europe, and Apple Retail U.K. — reported pre-tax profits of £68 million in the year through September 2012, with some £27.7 million in taxes deducted due to [tax deductions from share awards to employees which helped wipe out the corporate tax liabilities of the UK subsidiaries in the year to September 2012].”
Bostic reports, “Apple has recently come under fire in the U.S. and abroad for what many have called tax avoidance. Most recently, Apple chief Tim Cook and a number of other Apple executives were called to testify before a Senate subcommittee to defend the low tax rate Apple pays on its overseas earnings. Cook maintained that Apple had done nothing wrong. ‘We pay all of the taxes we owe,’ Cook said, ‘every single dollar. We not only comply with the laws, but we comply with the spirit of the laws.'”
Read more in the full article here.
MacDailyNews Take: Last autumn, Tim Worstall wrote an interesting article for The Register. In case you missed it:
Google, Apple, eBay shouldn’t pay taxes – people should pay taxes.
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