Posted on 16 November, 2012 by Keron Calame | No Comments
The Australian Tax Office has ordered Apple with a bill of $28.5 million in terms of back taxes owed by the company. This could be the start of the Australian government coming down on hard on foreign tax havens.
Since the details on the sum owed by Apple was revealed not much more information was revealed about the whopping sum of back taxes the company owes, since it is illegal for the ATO (Australian Taxation Office) to make any comments on individual cases.
The Brisbane Times did report on Friday that the ATO could be joining a tax push that is led by European governments by targeting companies which harbor funds via intermediary companies in foreign countries. The Australian arm of Apple is operated under the ownership of Apple Operations International, and this subsidiary is located in Cork, Ireland.
There has been many companies that have operations in Ireland so that they can capitalize on the country’s low corporate tax rate.