Apple Avoids Paying Billions of Taxes According to the US Senators

Apple, a known manufacturer of some of the innovative and most advanced technologies, was accused by the senators of the United States for avoiding paying for their taxes by using some Irish subsidiaries, which are not considered as tax residents of several countries across the globe.

During a hearing with Apple, the senators who have done some investigations have released a report about the international tax structure of Apple. But, this issue about Apple became a political spotlight in the US because of the senators involved. According to Sen. Levin, the chairman of the panel, Apple has avoided paying taxes. The company also created an offshore entity that hold billions of dollars. The report showed during the hearing also elaborate the loopholes that were made by Apple just to avoid paying taxes in the past 4 years. But, the committee stated that Apple has made something illegal to reduce their tax bills.

There are several things covered in the report, but most of the staffs in the committee are surprised when Apple use a non-tax subsidiary in the country of Ireland. These subsidiaries include Apple Sales International and Apple Operations International. Both subsidiaries don’t pay for taxes. That is the reason why senators of the United States accused Apple that it is avoiding in paying billions of taxes, which government may benefit from. Other than the mystery behind the Ireland-based subsidiaries of Apple, investigators concluded that it is one of Apple’s tax gimmicks to reduce their taxes. Although this is a legal move, Apple has denied that it is kind of gimmick just to avoid taxes