Apple avoided UK corporation tax in 2012, report says
Monday, July 1, 2013 @ 1:29pm
| Apple paid no UK corporation tax for 2012, according to new filings. The Financial Times reports that Apple escaped paying taxes through deductions on share awards to its workers. This is despite the company's three main British subsidiaries -- Apple UK, Apple Europe, and Apple Retail UK -- pulling in a combined £68 million in pre-tax profits. The deductions amounted to £27.7 million.
During 2011, by contrast, Apple paid the UK government £11.4 million. The company has come under fire for its tax practices, but mainly in the US. Most of the company's cash reserves are held overseas. In 2011, 84 percent of its non-US operating income flowed through Apple Sales International, an Irish subsidiary with no tax residency that paid a tax rate of just 0.05 percent.