Irish Tax Loophole That Lines Apple's Pockets Will Close Within Four Years

By Gerald Lynch on at

The "Double Irish" tax loophole that tech companies like Apple have exploited to such great financial success over the years will close within the next four years, it has been confirmed. Ireland's finance minister Micheal Noonan has outlined a new budget plan that will phase out the tax-avoidance scheme that saw companies move their revenue to an Ireland-registered offshore address, allowing them to cut huge amounts off their tax bills.

From 2015 forwards, companies incorporated in Ireland will have four years to make sure they are also a tax resident (meaning that they'll pay the same tax as any other corporation in the country) or move their business elsewhere.

Either way, Ireland remains an attractive place to set up shop for a megacorp. Its 12.5 percent corporate tax is lower than many other nation's, and companies that use Irish workers and premises to conduct research and development will be treated to some vey healthy tax breaks, too. [Guardian]

Image Credit: Apple Store from Shutterstock