The European Union has ordered Apple Incorporated to pay over $14.5 billion in taxes it has been ducking illegally in Ireland. If Apple is forced to pay this amount, it will reduce Apple’s profits. That may drive Apple’s share prices and dividends downward, which will disappoint investors, such as hedge funds, Wall Street Investment banks, individual millionaire and billionaire investors, etc….
The New York Times reports,
“Europe’s competition enforcer said that Apple’s illegal deals with the Irish government allowed the technology giant to pay virtually nothing on its European business in some years. The arrangements enabled Apple to funnel profit from two Irish subsidiaries to a “head office” with “no employees, no premises, no real activities,” the commission said.
By doing so, Apple paid only 50 euros in taxes for every million euros in profit during 2014. As part of its ruling, Europe demanded that Ireland recoup 10 years’ worth of back taxes, some 13 billion euros, or about $14.5 billion, plus interest.”
Apple is sitting on a pile of cash, $230+ billion, so the $14.5 billion it has avoided in taxes is a drop in the bucket.
“’U.S. companies are the grandmasters of tax avoidance,” said Edward D. Kleinbard, professor at the Gould School of Law at the University of Southern California and a former chief of staff to the congressional Joint Committee on Taxation.'”
Naturally, the US corporate propaganda machine, such as the National Review, has viciously attacked the EU ruling. Apparently, the editors think only the little guys should pay taxes, and that US corporations should get a free ride in using the variety of infrastructure of Ireland and the rest of Europe that the 99 percent of Ireland pays for. Ireland’s government plans to appeal the EU’s ruling because it is claimed Apple owes much more in taxes.
In other words, the National Review supports redistributing income from the 99 to the 1 percent, and that rich should not pay any taxes.