The facts about Apple’s tax payments

Apple believes every company has a responsibility to pay its taxes, and as the largest taxpayer in the world, Apple pays every dollar it owes in every country around the world. We’re proud of the economic contributions we make to the countries and communities where we do business.

With all of the misinformation out there, Apple felt the need to set the record straight about taxes.



  • Heos Phorus

    „At the same time, Apple believes it has a responsibility to use every questionable tax haven and loophole available to owe as few dollars as possible to as few countries as possible. We‘re even prouder of the economic contributions we make to ourselves“

    Having said that, it‘s not Apple‘s fault that they are a as greedy a company as everybody else, it‘s the local politicians that allow Apple, Amazon, Starbucks, Google, et al. to make business in their country but funnel their profits through tax havens.

    Still, I could do without the infuriating „legally, we‘re doing nothing wrong“ PR-bullshit. This is not about legality.

    • ThinkActive

      We are guessing you don’t run a money-making enterprise.

      • GlennC777

        I pay a considerably higher tax rate on my earnings than Apple does. I think it’s a fair point to make that there’s something wrong when ordinary people have higher tax rates than entities like Apple.

    • so, can we assume you over-pay your taxes, giving more than you’re legally obligated to pay? riiight…

    • Billy Razzle

      Apple (and every public corporation) has an obligation to its investors to do every legal thing in their power to maximize the profit and value of their company.

      If there is a legal tax loophole then they are obligated to take advantage of it.

      • GlennC777

        That’s not true. Apple has a great deal of latitude as to how it structures its taxes and does not have a fiduciary obligation to minimize them.

        It does have an incentive to minimize them, however, and as a shareholder I benefit from it somewhat.

        A fair-minded person should be able to see both sides of this issue.

    • GlennC777

      Apple actually pays a relatively high tax rate in the US, something on the order of 25% typically. Many publicly-traded (and private, I imagine) US corporations manage to pay no taxes at all.

  • Politicians play they part, they plant policies that favours their patrons, those patrons have all the right for lobbying for their interests, all is good – It is called Democracy. But, the masses, the people, they fail at defending their interests, they allow themselves to be manipulated. Who is to blame, the one who loses the most, because it/he/she does not the right thing.

    • GlennC777

      On the other hand, people have always been easily manipulated. That’s why effective democracy requires good cultural institutions. I fear ours in the US are losing a battle against malevolent forces.

      • Donna

        <

        blockquote>Google is paying 97$ per hour,with weekly payouts.You can also avail this. On tuesday I got a great new Land Rover Range Rover from having earned $11752 this last four weeks..with-out any doubt it’s the most-comfortable job I have ever done .. It sounds unbelievable but you wont forgive yourself if you don’t check it da10d: ➽➽ ➽➽;➽➽ http://GoogleCashAppCareerPartTimeJobs/get/hourly ★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫:::::!da160uuuu

      • Emily

        <

        blockquote>Google is paying 97$ per hour,with weekly payouts.You can also avail this. On tuesday I got a great new Land Rover Range Rover from having earned $11752 this last four weeks..with-out any doubt it’s the most-comfortable job I have ever done .. It sounds unbelievable but you wont forgive yourself if you don’t check it da10d: ➽➽ ➽➽;➽➽ http://GoogleCashCorpCareerPartTimeJobs/get/hourly ★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫★★✫★✫:::::!da16

  • Meaux

    This is very carefully worded and denies less of the article than it appears.

    “The changes Apple made to its corporate structure in 2015 were specially designed to preserve its tax payments to the United States, not to reduce its taxes anywhere else. No operations or investments were moved from Ireland.”

    The big change was moving their IP to Jersey, a claim that was not addressed in their response. Also, no claim was made about moving operations from Ireland to Jersey. the “preserve tax payments to the US” thing is a red herring.

    “Apple’s effective tax rate on foreign earnings is 21 percent — a figure easily calculated from public filings. This rate has been consistent for many years.”

    The media stories did not make claims about effective tax rates, as those would include things like deferred taxes and other games, but about actual taxes paid. The public financial statements show that there’s a bit of game playing. Apple claims they paid 26% in taxes in FY2017, which is the income statement percentage. But when you look at the cash flow statement, to see something closer to what they actually paid out, the effective tax rate is closer to 16%. This is because they are deferring taxes in anticipation of a repatriation holiday.

  • JimCracky

    Corporations in general try to pay as little as possible as part of the fiduciary obligation to their shareholders. And, therein lies the problem. These responsibilities are generally not beneficial to societies.

    We’ve seen this before. But, since students are deliberately kept ignorant by the ruling class, we tend to repeat this behavior every 100 years.

    Please refer your studies to America’s “gilded age”, and the robber barons who nearly destroyed the country back then.

    • so you’re suggesting only corporations, and not normal citizens, try to pay as little in taxes as possible? and that this is not beneficial to societ? what country do you live in?

  • Australia recently changed it’s company tax laws to stop this kind of BS from happening. No longer can Apple, Google, Netflix etc, do business and make profits here, but funnel the money overseas and pay the tax at a lower rate.

    Simply put – make the profits here, pay the tax here.

    • GlennC777

      I think that’s the real solution to this kind of problem, but I wonder how easily it can be implemented. For example, I wonder how exactly Australia is going to tax Apple. Will it be based on sales? If so, that would arbitrarily punish companies that have narrow margins and advantage companies that have high margins.

      If based on profits, then the accounting is very difficult, because the company can shift profits such as Apple does with Ireland, essentially making the Irish part of the business extremely profitable, and the Australian part of the business barely profitable.

      • Meaux

        You could look at global margin and then apply it to domestic revenue as an implicit profit. So if a company makes $1000 and has operating margins of 30%, then they are taxed on $300, no matter what their local profitability is.

    • multiple issues. tax deferral is one, but not what youre referring to. international tax is another — but if a produce is designed and engineered in country A, made into the physical world in country B, and sold to customers in country C, which country is entitled to the taxes for the value created? answering questions like these is how these laws were created in the first place.

  • caleb lee

    I pay a considerably higher tax rate on my earnings than Apple does. I think it’s a fair point to make that there’s something wrong when ordinary people have higher tax rates than entities like Apple.