Apple ‘abuses’ Cupertino, says new mayor

There's still a lot of money left in iOS devices.
Cupertino's new mayor thinks Apple should pay more taxes.
Photo: Ste Smith/Cult of Mac

Apple is by far Cupertino’s biggest and most recognizable employer, but the city’s new mayor has accused the tech giant of not pulling its weight when it comes to taxes.

Mayor Barry Chang, who’s only been on the job since December, is wasting no time in pursuit of his mission to get Apple to pay more taxes. He’s slated the local council for apparently cozying up to Apple, and even gotten himself booted out of Apple’s HQ on one occasion after turning up uninvited.

Woz: Apple should be forced to pay a lot more tax

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Steve Wozniak wax sculpture fake eyes
Steve Wozniak wants Apple to pay its fair share.
Photo: Madame Tussauds

From saying that he doesn’t want to be stuck in the Apple ecosystem to advising Apple to build an Android phone, Apple co-founder Steve Wozniak has said a lot of things that probably don’t go down too well at his former company.

His latest comments, however, put him more directly in the sights of Tim Cook — as Woz uses a new interview to take a shot at Apple’s tax payments. His thoughts? The company should pay more than it does. Half of everything it earns, in fact!

Ireland Considers Closing Loophole Used By Apple To Avoid Higher Taxes

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Apple believes it’s the highest taxpayer in the U.S, but the company has still been subjected to intense scrutiny because the majority of its cash isn’t located stateside, but in offshore subsidiaries scattered around the globe.

In a U.S. Senate Permanent Subcommittee this summer, Apple was accused of using Irish tax loopholes to avoid paying on about $44 billion in foreign profits. By basing ghost subsidiaries in Ireland, Apple has been able to not pay a considerable amount of taxes to any country. Now the Irish government is considering changing its tax code to prevent such behavior from happening in the future.

Tim Cook: Apple Should Be The Catalyst For Tax Reform, ‘We Don’t Use Gimmicks’

Seriously, the IRS lets us do all sorts of things.
Seriously, the IRS lets us do all sorts of things.

In his interview today at the AllThingsD D11 conference, Apple CEO Tim Cook responded to questions from Kara Swisher and Walt Mossberg about Apple taxes. Relating his time with the congressional subcommittee this past week, Cook, said that he felt strongly about how the company was portrayed by lawmakers.

Cook said that he wanted to be a catalyst for a discussion, coming to the hearing with a proposal rather than a defense, one for a revenue-neutral and major overhaul of corporate taxes nationwide.

Cook said that he felt simplicity was good, and how Apple approaches everything. The current tax system, he said, results in a two foot high tax return every year. When asked what he would like to do with it, he replied, “I would suggest we gut it.”