“French investigators raided Google’s Paris headquarters on Tuesday as part of a tax evasion inquiry, the financial prosecutor’s office said,” Reuters reports.
“Investigators from the financial prosecutors office and France’s central office against corruption and tax fraud, accompanied by 25 IT specialists, took part in the raid,” Reuters reports. “‘The investigation aims to verify whether Google Ireland Ltd has a permanent base in France and if, by not declaring parts of its activities carried out in France, it failed its fiscal obligations, including on corporate tax and value added tax,’ the prosecutor’s office said in statement. Google has based its regional headquarters in Dublin where corporate tax rates are lower than elsewhere in Europe.”
Reuters reports, “France is seeking some 1.6 billion euros ($1.8 billion) in back taxes from U.S. Internet giant Google, criticized for its use of aggressive tax optimization techniques, another finance ministry source had said in February.”
Read more in the full article here.
MacDailyNews Take: French government: How can we twist the laws in order to scrape up even more cash to flush down les toilettes?
As per Apple, the company followed the law when paying their taxes (very likely the case is the same with Alphabet):
There was no special deal that we cut with Ireland. We simply followed the laws in the country over the 35 years that we have been in Ireland. If the question is, was there ever a ‘quid pro quo’ that we were trying to strike with the Irish government – that was never the case. We’ve always been very transparent with the Irish government that we wanted to be a good corporate citizen… If countries change the tax laws, we will abide by the new laws and we will pay taxes according to those laws. – Apple CFO Luca Maestri
SEE ALSO:
EU lays down the law on corporate tax deals as Apple probe continues – May 19, 2016
Apple cash move will not end EU tax probe – April 11, 2016
Analyst: Apple investors unconcerned about potential EU tax bill – April 5, 2016
EU’s Vestager says will not complete tax inquiries of Apple, others in second quarter – May 5, 2015
U.S. demands EU reconsider tax probes of its companies – February 12, 2016
U.S. Treasury official to meet EU antitrust team over Apple tax deals – January 29, 2016
Apple and Google stand by Europe tax deals; Rupert Murdoch weighs in – January 27, 2016
Apple could trigger global tax war, potential breakdown of the international tax system – January 27, 2016
Apple CEO Cook lobbies EU antitrust chief over Irish back taxes – January 21, 2016
Think Ireland’s corporate tax is unfair? Wave goodbye to Apple and thousands of jobs if it’s changed – November 14, 2015
Apple announces 1,000 new jobs in Ireland as EU tax ruling nears – November 11, 2015
Apple tax probe won’t hurt Ireland, Finance Minister Noonan says – October 5, 2015
EU’s Vestager says will not complete tax inquiries of Apple, others in second quarter – May 5, 2015
Apple warns of potential ‘material’ financial damage from European tax probe – April 29, 2015
Apple may have to pay Ireland 10 years of back taxes – April 30, 2015
EU’s plans to tackle corporate tax avoidance hits first roadblocks — February 12, 2015
Ireland’s Prime Minister: Apple has nothing to fear from end of ‘Double Irish’ tax avoidance strategy – November 4, 2014
[Thanks to MacDailyNews Reader “Lynn Weiler” for the heads up.]