A PYMNTS Company

Italy: Apple faces tax evasion charges

By  |  March 24, 2015

Citing a pair of sources with knowledge of the inquiry, Reuters on Monday reported prosecutors completed their probe into Apple’s tax practices and, under Italian law, may soon seek a trial over the matter.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    At the investigation’s heart are Apple accounting techniques that from 2008 to 2013 booked income to a subsidiary in Ireland rather than Italy. Specifically, two managers from Apple’s Italian operations and one employee from Apple’s Irish subsidiary Apple Sales International were under scrutiny.

    If Apple had booked income with Italian tax authorities, its taxes would have been much higher. Overall, the company allegedly saved some $964 million using its Irish holding company.

    However, the ACCC said these benefits are limited, and can already be enjoyed by passengers who fly China Eastern for the whole of their trip.

     

    Full Content: Reuters

     

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.