Apple settles with Italian authorities to pay €318 million in unpaid tax

Apple has settled with Italian authorities over an unpaid tax dispute after the company was investigated for suspected fraud. Apple will pay €318 million over its alleged failure to declare earnings between 2008 and 2013 in Italy. According to confirmed local reports, Apple should be paying up to €880 million for the aforementioned period, but the tax authorities in Italy have agreed to close the case for just €318 million.

This news comes after CEO Tim Cook branded attacks on Apple's alleged tax avoidance as being "political crap," stating that Apple pays as much tax as is required by law. While this may be true for multinationals who have come under constant fire for not paying enough tax on earnings, it's a rather immoral stance for Apple who strives in being a people-focused company.

The payment made by Apple will not save three local executives who will be subject to continued investigation.

Source: The Guardian

10 Comments
  • But Apple don't avoid paying tax? It's all the stupid governments faults for not closing loopholes? Apple were only doing the right thing for their shareholders by acting immoraly? Hopefully this is the first of many countries making Apple pay their fair share of tax. Sent from the iMore App
  • Apple is one of the top 5 companies paying corporate taxes in the US, how is that not paying their fair share?
  • Tell that to Italian authorities
  • I think there's a clue in the news story.
  • I think you're confusing legality and fairness. How much is their fair share?
  • 1 - income tax (paid by the consumer)
    2 - VAT (paid by the consumer)
    3 - Corporate tax (ultimately paid by the consumer) Did I miss anything?
  • Do you mean to say we are all immoral by not paying more taxes than what we are legally required to?
  • Nope, just the legally required amount which is the case here. Apple wouldn't have settled if it wasn't legally obligated.
  • Cook's position is that they should pay everything they are legally required to, that's not an immoral stance, which is what the author is implying. Many companies and individuals get investigated and found to be doing wrong in regards to tax payments, either intentionally or by accident. Just because Apple is a big company doesn't make this an inherently immoral act.
  • all big multinationals use clever accounting to pay as little tax as possible, and most normal people do the same each year in their tax returns.
    you can only get away with it for so long. sooner or later the authorities catch up and this is what has happened to apple and it will to others as well