Apple has reached a deal with the tax authorities in France to pay it an undisclosed amount of back-dated tax. While the official amount has not been revealed by either Apple or the French tax division, the French media is estimated the amount to be around 500 million euros ($571 million).
France has been cracking down on international companies operating in the country who have been using various loopholes to pay a lower amount of tax. This puts other European companies at a disadvantage since they end up paying a higher amount of tax.
“As a multinational company, Apple is regularly audited by fiscal authorities around the world,” Apple France said in a statement. “The French tax administration recently concluded a multi-year audit on the company’s French accounts, and those details will be published in our public accounts.”
Apart from France, Apple is also engaged in a tax dispute with the EU. The European Commission has asked Apple to pay a staggering $14.52 billion in back taxes which has been refused by Tim Cook as “total political crap.” While Ireland disagrees with the EU’s decision, it does look like Apple used Ireland as a tax haven to pay lower taxes. Apparently, the company paid just €50 ($56) in taxes on every €1 million ($1.12 million) profit it earned.
Apple has already appealed against the European Commission’s tax decision.