Apple and Taxes

• Apple avoided taxes by creating three offshore corporations in Ireland, a known tax haven.
• Apple used a “cost-sharing agreement” with its Irish subsidiaries, which transferred part ownership of intellectual property created in the U.S. to Ireland to avoid paying taxes in the U.S.
• Apple also used a tax loophole which allowed them to declare to the IRS that its three offshore subsidiaries were one company.
• Forbes: Apple “has become famous over the years for deploying legions of accountants to devise offshore tax avoidance mechanisms with names like ‘double Irish with a Dutch sandwich.’”
• July 2020: An EU court ruled that Apple would not have to pay Ireland $14.8 billion in back taxes, which overturned a 2016 ruling that Apple had been giving illegal tax breaks by Dublin.
• Fair Tax Mark reported that Apple had the fifth biggest tax gap of the six companies examined in its study.
• 2010 To 2019: Apple paid $93.8 billion in income taxes on $548.7 billion in profits after taking in $1,888 billion in revenue.
• Apple’s cash tax paid amounted to 17.1 percent of its profits, despite a federal headline tax rate of 35 percent in the United States.