tax

The European Union wants to overturn Apple’s 2020 victory in the massive $14.8 billion tax dispute, which has been raging for the past several years.

Bloomberg reported Monday that the appeal challenges a July court judgment ruling against Apple. The court decision going against the EU was a big setback for lead Commissioner Margrethe Vestager.

The U.S. Trade Representative’s office is not happy about certain international digital tax laws, which it claims is unfair to American tech giants.

According to Reuters, taxes on digital services imposed by France, India, Italy and Turkey are “inconsistent” with international tax principles. They could, in turn, result in retaliatory tariffs being put in place by the United States.

The European Commission may have lost its court case about Apple’s $14.8 billion tax bill, but it continues to believe that it’s morally in the right.

“We do not consider it normal that the largest corporates get away with paying one percent tax at most,” European Commission executive vice-president Valdis Dombrovskis told reporters in the aftermath.

In something of a surprise outcome, Apple and Ireland have won their appeal against a European tax bill order which fined Apple $14.8 billion.

The European Commission ordered Apple pay the enormous sum in August 2016. According to the EU, Apple paid a tax rate as low as 0.005% of its European profits in 2014. This was supposedly part of a “sweetheart” deal it received in Ireland.

Ahead of tomorrow’s ruling by a European Union court on Apple’s tax appeal for $14.8 billion, the leader of an electoral alliance has argued that Ireland rejecting the decision would be tantamount to “economic treason.”

Apple paid 6.2 million British pounds ($7.8 million) on U.K. retail sales of $1.37 billion and gross profits of $337 million last year, a report published by i News claims.

The publication viewed Apple’s latest annual results filing at Companies House, and found that Apple Retail UK was able to reduce its pre-tax profit to only $39 million after accounting for costs and expenses.

The tax rules need rewriting for the digital age, and finally the world’s governments are doing something about it. On Friday, the Organization for Economic Cooperation announced that 137 governments around the world have agreed to launch a rewrite of tax rules for multinational companies the digital age.

Tax officials from the countries in question have agreed to meet in Paris for negotiations about how this might work. The aim is to crack down on the kind of tax avoidance that can happen when multinationals shuttle their profits around to different countries.

Apple has received a glimpse of hope in its giant $14.4 billion tax battle against the EU. On Tuesday, the European Commission’s similar tax case against Starbucks collapsed. The EC claimed that Starbucks had received an unfair sweetheart tax deal in the Netherlands. The European Commission’s General Court overturned this earlier 2015 decision.

But another case against Fiat Chrysler concluded with the European court saying that it had enjoyed preferential tax treatment in Luxembourg.

Apple will raise App Store pricing in Japan next month in line with an update to Japan Consumption Tax (JCT).

The increase will affect sales and in-app purchases, but not auto-renewable subscriptions. Only the most affordable tier priced at ¥120 will avoid the change.

Apple could get an early indication about the likely outcome of its giant European Union (EU) tax case early this week.

Apple was in court last week protesting its 13 billion ($14.4 billion) tax bill from the EU. Although the case is likely to drag on for months, two related cases will be ruled on this week. They may offer Apple some clues about its chances of success.

Apple says that the European Commission doesn’t understand its business — and places way too much emphasis on the importance of its Irish divisions.

The accusation was made on the second day of Apple’s court hearing to appeal its $14.4 billion tax bill.

Apple has a fight on its hands this week as it goes to court to battle the world’s biggest tax case. The company will protest its 2016 European Union tax bill of 13 billion euros ($14.4 billion).

The EU charged Apple the money after saying it had an unfair tax arrangement with Ireland. Apple has always protested its innocence. This week, a court will start the process of deciding whether the regulators were right.

Google will pay a total of $1.1 billion to end a four-year probe into its tax activities in France. This is a combination of fine and repayment of additional taxes Google didn’t pay first time around.

France and Germany have both pushed for tighter tax regulations of multination tech giants. Others — Apple included — have been charged in the past. They may have to stump up more cash in the future, too.

President Donald Trump is stepping up to defend Apple. Well, kind of.

The president ordered an investigation into France’s planned tax on big tech companies like Apple, Alphabet, Facebook and Amazon. The Office of the United States Trade Representative said the tax “unfairly targets” American companies.

Update 1: France passed the tax Thursday, according to Agence France-Presse: “The legislation — dubbed the GAFA tax in an acronym for Google, Apple, Facebook and Amazon — was passed by a simple show of hands in the Senate upper house after it was agreed by the National Assembly lower chamber earlier this month.”

The escrow fund containing the massive $16 billion fine Apple was commanded to pay by the EU declined by $18 million last year.

The funds are being held in an escrow account while appeals by Apple and Ireland make their way through the court. In the meantime, the money is invested — but, at least based on last year, not as successfully as hoped.

Ireland has invested Apple’s back taxes into low-risk, highly rated bonds, according to a new report. The move is an effort to preserve capital amid an ongoing appeal, which could take several years to resolve.

Germany’s finance minister Olaf Scholz has slammed tech giants that “pay taxes nowhere.”

It’s the latest shot at tech giants such as Apple, Google, Facebook and Amazon which have previously clashed with the European Union on tax issues. In an interview with CNBC, Scholz argued that “we should find a global agreement” to shut tax avoidance loopholes.

The EU has gone after companies like Apple as part of a crackdown on what it views as unethical tax avoidance. As part of that mission, France is today debating a draft GAFA tax law.

An acronym derived from Google, Apple, Facebook and Amazon, the proposed GAFA law could put a 3 percent tax on revenues for tech companies with annual revenue of more than 750 million euros ($842 million). From the name of the proposed law, it’s no secret which companies that would involve.

Taxes are a drag no what you do for a living. So why waste more time on them than you should? Even if you’ve already got a go-to tax app, you might want to switch to this tax-busting app.

Apple has agreed to pay French authorities around $571 million in back taxes, according to new reports.

Apple today confirmed the deal but did not disclose the sum itself. The agreement comes after a multi-year audit into Apple’s accounts by the French tax administration.

Apple’s huge EU tax bill hasn’t hurt its money-making machine one bit.

After posting its best Q3 earnings report ever earlier this week, the iPhone-maker revealed in a filing that has already paid two-thirds of the $15.1 billion it owes in back taxes.

Apple won’t have to pay additional taxes to the city of Cupertino based on the company’s number of local employees, city officials have decided.

Some Cupertino City Council members planned to give voters the opportunity to decide whether Apple, and other large local businesses, should pay a “head tax.” Apple would have paid around $9.4 million annually to the city. However, those plans have now been scrapped.

Apple has turned down the invitation to publicly testify before the European Parliament’s special committee on tax evasion. According to the company, the reason is that it doesn’t want to risk doing anything which could harm its ongoing appeal against the massive EU tax bill it faces.

In a letter to the EU committee published today, Apple said that, “It is important to ensure public commentary does not prejudice those proceedings.”

Cupertino could introduce a tax that would charge Apple an additional fee based on its number of employees. The city has hired a firm to poll residents asking their thoughts on such a tax, and how it should be spent.

At present, Apple has upwards of 25,000 employees in the Bay Area, although it’s not clear how many of these are specifically based in Cupertino. Apple is Cupertino’s largest employer, and has been for many years.

Apple has transferred the first 1.5 billion euro ($1.18 billion) installment of its $16 billion fine ordered by the European Union, reflecting back taxes the company supposedly hasn’t paid.

The payment was confirmed today by Ireland’s Finance Minister Paschal Donohoe. In response to Apple paying up, EU authorities are reportedly open to dropping a lawsuit against Ireland for failing to do more to chase Apple’s debt.