Apple Fires Back at EU Allegations
On Wednesday morning, as widely anticipated, the European Union announced a new tax evasion investigation of Apple. With EU authorities concerned that Apple has gone too far in its tax mitigation efforts - particularly with regard to the company's base in Ireland - it isn't clear what will come of the investigation. But one thing is certain. Apple is coming forward to deny any wrongdoing.
“Apple pays every euro of every tax that we owe,” the iDevice maker tells Bloomberg Wednesday afternoon in an emailed statement. “We have received no selective treatment from Irish officials. Apple is subject to the same tax laws as scores of other international companies doing business in Ireland.”
Fiat and Starbucks are two other multinational companies that will join Apple in this latest EU probe.
Apple’s Irish tax dealings have also been subjected to much attention - and scrutiny - in the United States. In 2013, Apple negotiated a tax rate of just under 2% with Irish authorities. According to information provided by Apple to U.S. lawmakers, the Irish government had purportedly calculated Apple’s taxable income to produce an “effective rate in the low-single digits.”