Irish government dismisses claims that it is responsible for Apple's low tax bills

(Source: Reuters)

Irish deputy prime minister Eamon Gilmore has denied that Irish rules are responsible for Apple's low tax payments after a US report claimed that "Ireland has essentially functioned as a tax haven for Apple". Eamon Gilmore:

They are issues that arise from the taxation systems in other jurisdictions, and that is an issue that has to be addressed first of all in those jurisdictions.

Apple yesterday denied that it is using "tax gimmicks" and said that "foreign earnings are taxed in the jurisdiction where they are earned." In a prepared statement yesterday, Apple CEO Tim Cook called for a major change to US tax law:

“Apple supports comprehensive reform of the US corporate tax system,” he states. “The company supports a dramatic simplification of the corporate tax system that is revenue neutral, eliminates all tax expenditures, lowers tax rates and implements a reasonable tax on foreign earnings that allows free movement of capital back to the US.”

He added that the reform would likely boost economic growth, even though Apple would end up paying more US corporate tax.

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