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'It's Tricky': Apple Misses the Deadline To Pay $13.9 Bn To Ireland in Illegal Tax Benefit (cnbc.com)
Apple has not fully paid the 13 billion euros ($13.9 billion) it owes to Ireland in illegal tax benefits even though the deadline has passed, the European Union's competition said on Tuesday. From a report: "Well the recovery is not done yet but we have been working with the Irish authorizes and we can see that they are moving forward to do the recovery of the unpaid taxes," EU Competition Commissioner Margrethe Vestager said during a press conference in response to a question by CNBC. "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 as an escrow account in some of the other cases where it might be 25 or 30 million euros ... and therefore I do respect that it's a complicated matter and it may take a little more time. Last year, the Commission ruled that Ireland must recover 13 billion euros in "illegal tax benefits" from Apple. It found that the U.S. technology giant paid an effective tax rate of 0.005 percent in Ireland in 2014.
Hard to free up cash when all your money is hidden in holding companies, dodgy schemes and tax havens.
I could just say "it's tricky" when the state comes to tax my business to hell and beyond. I pay 51% tax in total on my business entity here in Norway. If I try to fight this unjust practice against SMEs here in Norway they'll just ignore me.
I know that people are working overtime at Apple to come up with this solution but here are some ideas for you:
- Giant novelty check
- Mountain of pennies
- Unsold Apple watches
- Briefcase full of "iBucks"
- "Hey what's that?!" *run away*
My eyes reflect the stars and a smile lights up my face.
They missed a deadline to have the money in an escrow account. With the ongoing legal challenges, the money would stay in the escrow account until such time as it is decided whether they have to pay the taxes, or they can take the money back. This wasn't a deadline to pay the tax itself.
https://www.rte.ie/news/2017/0...
The very LAST thing Ireland really wants is to enforce this law. For good reason. Right now they get a bit of the cake, but they get a bit of the cake from everyone because every company, from Apple to Amazon to MS to Google, is hiding in their tax shelter.
If they now actually fold (and yes, that would be Ireland folding to EU pressure), what reason is there for them to stay in Ireland? The weather?
We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
Ireland would like to keep Apple in Ireland even paying little to no tax, because of the amount of tax the support systems pay. If Ireland were forced by the EU to take 13 billion off Apple, then they will have to take it, but who knows what Apple's next move will be? They are moving a lot of operations from Luxemburg to Ireland, but that might all change if they have to start paying regular tax.
I accidentally modded down. Posting to erase. Absolutely insane. Whether you agree with a country's tax schemes, a sovereign nation has the right to decide these issues for themselves.
This idiotic bullshit "sovereignty" meme needs to die.
Being able to do whatever the fuck you like while everyone deals with you as if you're nice is not the definition of sovereignty.
Ireland agreed to not give state aid as a condition of being in the single market and the EU. They are sovereign because they can give state aid whenever and however they like, but they won't get to keep being in the EU.
You know what? Being sovereign is not being given cool shit while you act like a dick. It means people won't start shooting at you for things like that. Ireland is sovereign because no one will shoot at them if they say "fuck you" to the EU. Florida, Arkansas, Alabama etc are not sovereign: last time they tried to leave, some other people started shooting at them until they stopped. Ireland is free to invoke Article 50 (or just leave the club by fiat) any time they want and not a single shot will be fired.
SJW n. One who posts facts.
I keep hearing variations on that line with regards to Brexit (though the same would apply for any EU country sick of the EU's games, Ireland included), and just don't "get" it...
The US has free trade agreements with plenty of countries, despite not having given those countries the slightest hint of power to dictate what US law can or cannot do domestically. Why would a (former) EU country not have the ability to negotiate similar trade deals, totally in isolation from the immigration bullshit the EU seems intent to ram down its members' unwilling throats?
However, we will fight for our rights of sovereignty, and our rights to set our own laws, as laid down by EU law and all of the various treaties that make up the bloc.
You explicitly penned away the right to do what you're doing here.
I understand why the Government is fighting the EU on this.
Yes, because there's a lot of money involved.
(and are forced to accept the money - heaven's forbid!).
There's a story about a goose and golden eggs you might consider revisiting — it's not a perfect match, but it's close enough to get the point, I hope.
"You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
If Apple is forced to pay the $13 billion, Ireland is unlikely to see any of it. Firstly, other EU countries would go after Apple for a share and also Apple could declare the tax in the US instead.
https://www.theguardian.com/bu...
The very LAST thing Ireland really wants is to enforce this law. For good reason. Right now they get a bit of the cake, but they get a bit of the cake from everyone because every company, from Apple to Amazon to MS to Google, is hiding in their tax shelter.
If they now actually fold (and yes, that would be Ireland folding to EU pressure), what reason is there for them to stay in Ireland? The weather?
They still have the lowest corporate tax in the EU at 12.5% the companies would just have to pay that instead of 0.02%.
If they now actually fold (and yes, that would be Ireland folding to EU pressure)
"Fold" is a curious way of putting it. I mean I guess it fits, but it gives a rather odd impression. It's like saying you fold to pressure from the police not to do 90 in a 30 zone.
Or, actually, more like you fold to pressure from your landloard to pay rent.
SJW n. One who posts facts.
You can argue whether or not joining the EU has been a net benefit to Ireland (I believe it has, massively), the plain fact is that Ireland agreed to certain conditions as a result of joining and now needs to live up to its international obligations.
The real "Libtards" are the Libertarians!
The very LAST thing Ireland really wants is to enforce this law. For good reason. Right now they get a bit of the cake, but they get a bit of the cake from everyone because every company, from Apple to Amazon to MS to Google, is hiding in their tax shelter.
If they now actually fold (and yes, that would be Ireland folding to EU pressure), what reason is there for them to stay in Ireland? The weather?
They still have the lowest corporate tax in the EU at 12.5% the companies would just have to pay that instead of 0.02%.
Plus Ireland already ARE enforcing the tax again. The scheme was found illegal by Ireland's own supreme court, Ireland just said: We didn't know it was illegal so were are not going to be charging back taxes on the error. Where as EU have found letters between Apple and Ireland discussion wether or not they would accept the legally wrong scheme, and since Ireland did, have said that is illegal state aid, and thus they must collect back taxes and not just new taxes.
The only reason Ireland is not happy to charge the back taxes is either: a) pride or b) corruption.. or maybe c) both.
Even Al Capone learned, that either you pay your taxes or you go to jail.
Just treat it like any normal tax agency would treat it with late fees calculated on a prorated monthly basis.
If they were looking at 1B Euro penalties I'm pretty sure they'd have paid on time.
It's Tricky to dodge taxes, to dodge taxes that's right on time. It's TRICKY!
Actually, you want the corporate income tax rate to be zero. It's a tax on investment and job creation. When profits are paid to the owners through dividends or capital gains is when you want to tax. Taxing retained earnings reinvested in the business is like a farmer eating his seed corn.
You explicitly penned away the right to do what you're doing here.
The EU maintains that Ireland gave Apple preferential tax treatment that was not available to others and thus amounts to a subsidy which Apple must now repay. We agreed not to give subsidies under EU treaty.
Ireland maintains that we put in place an attractive tax regime available to all to encourage FDI. This is allowed under EU treaty and law, and in fact is used by all EU nations.
So if the EU are right, we get roughly 13 billion in back taxes from Apple. If the EU are wrong (which I believe they are) then we don't. The reason that this is so heated is that it at the edges (Apple were the only company to take advantage of the rules at the start) and there is a worry that this is an overreach by the EU commission which affects the ability of the government to levy its own taxes, which the the countries making up the EU have agreed is up to the individual countries.
Rational thought is the only true freedom
The EU isn't a dictatorial authority, this issue will be settled in court.
Um yeah?
But I'm pretty confident Ireland can have one general tax rate for corporations, and different rates for corporations locating savings or intellectual property in Ireland, since those activities don't generate any costs for the Irish government.
I expect so. What they're not allowed to while remaining in the EU do is have one rate for Apple. If they have a preferential rate, it has to be open in principle to anyone.
SJW n. One who posts facts.