Apple’s European tax rate is likely to increase from 12.5% to 15%, despite
Ireland being reluctant to impose the higher rate.
Apple based its European headquarters in Ireland, and has historically funneled most of its revenue from all 27 EU countries through the country in order to benefit from the low rate of corporate tax charged there …
Background
Apple’s approach of declaring all its European income in Ireland has already been challenged in some individual countries over the years. Italy, for example,
accused Apple of tax evasion by failing to declare more than $1.3B of income through its online and retail stores there.
Apple quietly settled that by paying the full tax due on its Italian sales. But many European sales continue to be booked in Ireland.
Apple looked set to wave goodbye to its 12.5% tax bill in Ireland
when agreement was reached between the G7 nations and the European Union on a 15% global minimum.
However, Ireland subsequently suggested it might seek to “
negotiate a compromise” that would allow it to continue charging a lower rate.
9to5mac.com
