Apple are the biggest company in the world with profits souring, especially since the release of their latest generation iPhone and iPad products and with other companies avoiding corporation tax inside of the UK, it seems Apple were quick to follow.
US regulators have identified companies such as Facebook and Starbucks paying well under the UK tax threshold and the latest is now Apple who paid $713m (£445m) in the year ending 29th September with pre-tax profits over $36.8bn working out at a rate of 1.9%.
The odd thing is, none of these companies are being penalised for tax avoidance as they are doing everything above board and its all fully legal and other taxes inside the UK are paid including VAT and National Insurance and this is all done due to sub-companies within the Republic of Ireland who charge lower corporation tax than the United Kingdom at around half the rate at 12.5% instead of 24%.
Other companies in this “scandal” include Google and Facebook and talks of eBay and their subsidiaries including PayPal are also suspected of the same.
Source: BBC News
