Apple to pay USD 350 mln after Italian tax fraud investigation

According to a report from Italian newspaper La Repubblica, the iPhone maker was under investigation for allegedly failing to declare earnings in Italy between 2008 and 2013. La Repubblica claims that Apples Italian subsidiary, Apple Italia, should have paid approximately EUR 880 million in corporation tax over that period but instead paid just EUR 30 million.

The probe alleges that Apple avoids tax in Italy by booking its sales in the country through Ireland where its European operations are headquartered. Ireland has one of the lowest rates of corporation tax in the EU — just 12.5% compared to Italys 27.5% — and is often a factor in US companies more controversial tax arrangements.