Articles by Hunter Snowden

International Law

Apple’s Double Irish with a Dutch Sandwich

June 1, 2017 Hunter Snowden 0

What do companies like Google and Apple have in common? They both love a “Double Irish with a Dutch Sandwich.” As appetizing as that may sound, it is actually a form of legally-permitted tax avoidance. Through a combination of legal loopholes and financial border-hopping, Google and Apple have lowered their collective tax contribution by just under $20 billion in 2015 alone. Here’s how it works: Large companies like Google and Apple minimize their tax burdens by strategically funneling money into offshore tax havens through “shell companies” – corporate sub-entities used strictly as vehicles for transnational capital shifts. Take Apple, for example. “Apple Ireland,” a shell company owned by the U.S. tech giant, sells iPhones to another shell company, “Apple Netherlands,” which, in turn, sells the product to the customer. The Dutch franchise then collects revenue from the sale but pays as much as possible back to the Irish shell company […]