Previously, we had heard of the tax scandal Apple has been facing from the European government. The company was accused of having illegal taxation deals with the Irish government and the matter was being investigated. Recently, the Vice President of the European office of Apple was called in front of the tax committee of the European Parliament and asked to explain about the tax arrangements the company had with certain European countries. As per the reports published by Bloomberg, the Vice President had actually denied the accusations of having any kind of illegal deal with any country in Europe.
According to Cathy Kearney, the company has paid all their due taxes to every government. Moreover, they had not taken the help of any state in order to pay their taxes with some special rebates or clauses. She has also denied that the Irish government had promised Apple a much lesser tax deal than other companies. Previously, it was thought that Apple has actually decided to construct their new European headquarters in Ireland only because the government there has a lesser tax percentage than any other country.
According to the Vice President, even if the ruling rules against the tax scandal of Apple is against the company, Apple will still be beside Ireland and end up building one of its headquarters there. The committee who had asked Apple the question actually has no proper jurisdiction to change anything. Thus, from the view point of Apple, this was basically just a Public Relations exercise. The actual investigation regarding the Apple tax scandal in Europe is still going on. Moreover, this investigation will go on quite for some time, as stated in the reports. On the other hand, the ruling might actually go against Apple, since the amount of taxes which Apple has kept due, is quite a large sum.