Wednesday, May 25, 2016

Tax raid against Google in France – Swedish Dagbladet

Photo: Alan Diaz / AP

It’s not the first time Google has been accused of moving money, to escape the tax, to lågskattelandet Ireland where Internet Group has its European headquarters.

the prosecutor at the French Economic Crime authority PNF stated that both the police, tax officials and 25 computer experts took part in the raid.

A spokeswoman for Google says that the company respects French law and cooperate fully with the authorities to answer their questions.

PNF stated that the raid was done to check if Google Ireland Ltd has neglected its tax liability by not “declare parts of operations in French territory.” In particular, the VAT and corporate taxes.

Tax Brawl between Google and authorities has been going on including the UK and Italy. In February, said company CEO Sundar Pinchai during a Paris visit:

– We are a global company. We must follow the tax rules everywhere, we follow the tax rules in all countries.

France has so far refused to negotiate on Google’s back taxes, but a source within the tax authority does not exclude such a solution.

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