Feeds

Senators: You - Cook. Apple guy. Get in here and bring your tax books

No, don't sit down. Where's all our damn money?

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

Apple head honcho Tim Cook looks set to be hauled in front of a Senate committee to explain why his firm dodges taxes by keeping its cash overseas.

Cook is expected to appear in front of the Senate's Permanent Subcommittee on Investigations to explain why Apple has failed to repatriate up to $100bn in cash stashed in foreign countries.

It was so keen to avoid paying tax on this cash that it recently sold $17bn in bonds to help finance a $100 billion stock buyback and dividend scheme, rather than bringing the cash home to America.

Had Cupertino returned its money to the US, it would have been hit with a punitive 35 per cent tax rate, meaning it was cheaper in the long run to issue bonds and pay interest at market rates.

The investigations committee has also grilled other companies that use slick methods to keep their tax bills down, including Microsoft and Hewlett-Packard.

In total, Apple has built up a cash surplus of around $145billion.

An Apple spokesman insisted the firm paid all its taxes. “We’ve been working with the subcommittee to answer their questions about Apple, and we welcome any further questions they might have,” Apple said in a statement. “Apple is one of the largest taxpayers in the United States, having paid $6 billion in federal corporate income tax in fiscal 2012.”

Cook's potential appearance in front of the Senate comes as Google's head of European sales, Matt Brittin, explains to the UK Parliament's Public Accounts Committee why the ad giant's tax bills are so low. ®

Beginner's guide to SSL certificates

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Lords take revenge on REVENGE PORN publishers
Jilted Johns and Jennies with busy fingers face two years inside
Yes, yes, Steve Jobs. Look what I'VE done for you lately – Tim Cook
New iPhone biz baron points to Apple's (his) greatest successes
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Edward who? GCHQ boss dodges Snowden topic during last speech
UK spies would rather 'walk' than do 'mass surveillance'
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.