Italian Regulators Conclude Corporate Tax Investigation Against Apple
Italian regulators have completed an investigation into allegations that Apple failed to pay €879 million ($964 million) in corporate taxes, according to Reuters. The report states that, under Italian law, prosecutors can now ask a judge to bring the case to trial. Apple claims that it has paid all necessary taxes in countries that it operates and is confident that the process will be resolved.
Apple's flagship Via Roma retail store in Torino, Italy
The investigations accuse Apple of booking profits generated in Italy through an Irish subsidiary in an effort to lower its taxable income base and save nearly €900 million from 2008 through 2013. Apple argues that it's "one of the largest tax payers in the world and paid every euro of tax it owed wherever it did business," and believes that the allegations against its employees are without merit.
It said the Italian tax authorities had audited Apple’s Italian operations in 2007, 2008 and 2009 and confirmed it was in full compliance with the OECD documentation and transparency requirements.
"These new allegations against our employees are completely without merit and we’re confident this process will reach the same conclusion," it said.
Apple is one of several multinational tech companies, including Amazon and Google, that have faced corporate tax investigations in the United States and Europe. The U.S. Senate accused Apple of avoiding billions in income taxes in May 2013, while the European Union accused the company of receiving illegal state aid from Ireland after completing a formal investigation into its questionable tax practices in the country last year.
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