Cook calls tax rul­ing “po­lit­i­cal crap”

Ap­ple’s CEO says that both Ap­ple and the Ir­ish govern­ment have played by the rules, writes Kather­ine Noyes

Macworld - - Con­tents -

The Euro­pean Com­mis­sion’s de­ci­sion to force Ap­ple to pay Ire­land bil­lions of dol­lars in back taxes is “to­tal po­lit­i­cal crap” and a re­flec­tion of anti-US sen­ti­ment, com­pany CEO Tim Cook told the Ir­ish In­de­pen­dent in an in­ter­view. “No

one did any­thing wrong here,” Cook said. “Ire­land is be­ing picked on, and this is un­ac­cept­able.”

As we re­port on page 16, the EC has ruled that Ire­land gave Ap­ple il­le­gal tax ben­e­fits by not col­lect­ing €13 bil­lion ($14.5 bil­lion) in taxes owed to it over a 10-year pe­riod. It was the cul­mi­na­tion of a two-year in­ves­ti­ga­tion into the com­pany’s tax af­fairs that found Ap­ple’s ef­fec­tive tax rate on profit re­ported in Ire­land was just €500 per mil­lion eu­ros in profit, fall­ing to €50 per mil­lion in 2014.

The Com­mis­sion’s charges have “no ba­sis in fact or in law,” Cook wrote in an open let­ter to Ap­ple cus­tomers. The Ir­ish tax au­thor­ity has also dis­puted the rul­ing.

The EC is es­sen­tially try­ing to re­al­lo­cate taxes that should be paid in the US to the EU, Cook told the pub­li­ca­tion, and may be us­ing the case as part of a play to har­monise tax rates across the EU, as well. The fact that Ap­ple was tar­geted is also in part a re­flec­tion of anti-US sen­ti­ment, he said.

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.