Apple Moving iTunes Headquarters to Ireland – One Tax Haven to Another!
Ron Perillo / 3 years ago
Starting February 4, all of the non-US side of Apple’s business which includes the iTunes Store, Apple Music, the App Store and iBooks will be based in Cork, Ireland. Apple is also moving all developer contracts to Apple Distribution International, also based in Ireland. Apple is essentially moving from one tax haven in Luxembourg into another although this comes hardly as a surprise since Apple has made their intent to move in September 2016, having transferred an estimated £7.2 billion of their assets already. Apple has confirmed the move in a note sent out to developers on January 26, initially posted by Twitter user @stroughtonsmith from HighCaffeineContent.com Tweeting out the note he received.
iTunes relocating from Luxembourg to Ireland as of Feb 4 pic.twitter.com/ShCbE0eNqR
— Steve Troughton-Smith (@stroughtonsmith) January 26, 2017
In August last year, the EU commission ordered that Apple must pay £10.8 billion plus interest in back taxes, citing that the deal with the Irish government amounted to a “state aid” and was dubbed anti-competitive having an effective tax rate as low as 0.005%. Apple is expected to expand its workforce in Cork, currently employing over 5,500 but planning to hire over a thousand more. Further expansion in the country including a £725 million data centre in Athenry, is being held up by various other legal challenges facing Apple however. The EU ruling itself is still being contested by both Apple and the Irish government, with Tim Cook himself calling the ruling “total political crap”. Despite the common goal, Tim Cook was accused of “disrespecting” Ireland after he declined a meeting with the Irish finance committee regarding what to do with the EU tax ruling.