Far from being ones to shy from a challenge, Apple saw Newscorp’s billion dollar tax escape and decided to try and raise it. Its a big boys club, and unless you have an offshore tax haven, you’re not invited.
Apple reportedly shuffled billions of dollars of earnings made in Australia into Ireland and in doing so avoided tax on it. When taking into account the billions earned in this country, Apple got away with a tax rate of 0.7%.
Its not the first time Apple have been in the news over such a fiasco. This time last year they were under the same fire in the US, and true to America’s ‘everything’s-always-bigger’ form, the amount topped $74 Billion dollars in tax evasion. The politically correct term is of course avoidance since for all intense purposes it was ‘legally’ done.
They of course were not the only companies earmarked this time last year. Nike and Microsoft were also among the 18 biggest companies in the US to have sidestepped taxes to the tune of more than $92 Billion dollars. Ironically, these 18 companies mentioned were the ‘good’ ones on the guilty list as at least they disclosed their hypothetical US tax position. There were another 235 companies who declined to reveal their overseas position, yet were estimated to hold almost $1.3 trillion in non-repatriated profits abroad. Try punching 30% of that into your calculator and working out how many (enter your charity, people, infrastructure, community development project, social problem etc etc of your choice here) this could help.
While Tony Abbot stands and delivers to Apple back here in Australia, taking the opportunity of course to point a finger at the previous government as the purveyors of this unholy plague, one has to ask, “Yes very noble, but what is going to change?”. If the US is anything to go by, none of the hype and outrage will come to anything.
The problem is the system is set up to benefit the super rich and corporate elite. Why else would there be cozy little backdoors available for them to squirrel away gargantuan sums of money and thus avoid contributing to the society out of which they work? But before you think that’s some darn commie talk, just ask billionaire investor mogul Warren Buffet what he has to say about it.
When Tony Abbot declared Australia was open for business, just whose benefit was he saying this for? The people of Australia; or the super rich? In Australia, tax avoidance is somewhere to the tune of $40 billion dollars a year, and by the looks of things big business plays a big part. The system that endorses and allows this was put in place by government, so the next time they use the boat people costing Australian tax payers $2 billion a year as leverage for your votes, do yourself a favour and don’t get sidetracked.
They want us unfocused and arguing over the small things. They want us worried about the immigrants, and concerned over this party wasting money developing this railway, and how that particular piece of infrastructure was a waste of time. We wouldn’t be arguing over relative scraps if they stopped protecting the rich and made them pay their fair share.
Craig Thompson was disgraced out of parliament and the public eye for using taxpayer’s money to sleep with prostitutes. Quite frankly, Id rather have our politicians sleeping with whores, than have them in bed with big business. Its cheaper, and if you ask my opinion, a lot less sleazier.