Post by Deleted on Sept 1, 2016 9:33:28 GMT 7
Ireland’s governing coalition is split over whether or not the state should immediately appeal against the European commission ruling ordering Apple to pay €13bn (£11bn) in back tax to the Irish government, and will hold further talks later this week before reaching a decision.
As the cabinet met in Dublin on Wednesday, it emerged that the Independent Alliance, some members of which are government ministers, was not prepared to back an appeal. The group of TDs helps shore up the minority Fine Gael administration.
There was also a suggestion that the bill could be as much as €19bn after interest is added. Speaking on RTÉ Radio, Eamonn O’Dea, the head of Revenue’s international division, said the total tax to be paid “could be at that figure, at max[imum].”
The Irish finance minister, Michael Noonan, is strongly in favour of appealing against the ruling. After the European commissioner for competition, Margrethe Vestager, said on Tuesday that Apple’s sweetheart tax deal with Ireland constituted illegal state aid, Noonan vowed to immediately appeal against being forced to take the €13bn payment.
He insisted that Ireland had to preserve its status as a low-tax base for overseas companies. The country has a corporation tax rate of 12.5%, less than many other EU nations, but made deals with Apple allowing the world’s most valuable company to pay tax on profits at a maximum of 1%. In 2014, Apple paid tax of 0.005% in Ireland, or €50 on every €1m in profit generated.
www.theguardian.com/technology/2016/aug/31/ireland-government-split-apple-tax-bill-immediate-appeal
As the cabinet met in Dublin on Wednesday, it emerged that the Independent Alliance, some members of which are government ministers, was not prepared to back an appeal. The group of TDs helps shore up the minority Fine Gael administration.
There was also a suggestion that the bill could be as much as €19bn after interest is added. Speaking on RTÉ Radio, Eamonn O’Dea, the head of Revenue’s international division, said the total tax to be paid “could be at that figure, at max[imum].”
The Irish finance minister, Michael Noonan, is strongly in favour of appealing against the ruling. After the European commissioner for competition, Margrethe Vestager, said on Tuesday that Apple’s sweetheart tax deal with Ireland constituted illegal state aid, Noonan vowed to immediately appeal against being forced to take the €13bn payment.
He insisted that Ireland had to preserve its status as a low-tax base for overseas companies. The country has a corporation tax rate of 12.5%, less than many other EU nations, but made deals with Apple allowing the world’s most valuable company to pay tax on profits at a maximum of 1%. In 2014, Apple paid tax of 0.005% in Ireland, or €50 on every €1m in profit generated.
www.theguardian.com/technology/2016/aug/31/ireland-government-split-apple-tax-bill-immediate-appeal
