Apple avoids executive's prison term in settlement over unpaid Italian taxes

Posted:
in General Discussion edited October 2016
A judge in Milan, Italy has reportedly agreed to a settlement with the head of Apple Sales International in a case over unpaid corporate taxes in the country, which might otherwise have resulted in the Apple executive serving a six-month prison sentence.




Instead, the executive will have to pay 45,000 euros, or about $49,126, a source informed Reuters. Prosecutors have also allegedly asked for a case against two Apple Italy managers to be dropped.

Apple was accused of failing to paying 879 million euros ($959.43 million) in Italian corporate taxes between 2008 and 2013. In December 2015 Apple agreed to pay 318 million euros to settle the dispute, also signing an accord on managing its liabilities from the 2015 fiscal year going forward.

Apple Sales International is based in Ireland, where Apple Inc. funnels much of its international revenue to minimize its tax bills. The European Commission accused the Irish government of extending illegal state aid in the form of preferential tax arrangements, and now both Apple and Ireland are fighting $14.5 billion in back tax collection. E.U. law bars countries from offering tax breaks to one company but not others.

Just last month, the Japanese government ordered Apple to hand over $118 million after failing to pay a withholding tax on its local iTunes earnings.

Comments

  • Reply 1 of 6
    Italy is a beautiful place, but a political cesspool.
  • Reply 2 of 6
    Just wait a few months - there will be a new government
  • Reply 3 of 6
    ipilyaipilya Posts: 185member
    who here would have been willing to wait it out in prison for a €318 million? - not a bad haul for 6 months time I would think. smiley 
    edited October 2016 singularity
  • Reply 4 of 6
    Italy is a beautiful place, but a political cesspool.
    Right now, not sure USA can claim any different.. Conspiracy paranoia is a Trump campaign tool, "they are all evil unless i win" slogan. and even then, he'll SUE! pff.. Hillary, not any better choice; both a nightmare.
    singularity
  • Reply 5 of 6
    eightzeroeightzero Posts: 2,226member
    Amanda Knox Likes This.

  • Reply 6 of 6
    Italy is a beautiful place, but a political cesspool.
    Our (US) political system is just as corrupt, and probably more so.  We have a long list of corporate criminals who should be in jail in this country, but that won't happen here either... We can start with John Stumpf, ex Wells Fargo CEO.  The list goes on from there...
    edited October 2016
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