Thursday , April 15 2021

The document highlighted Google's transfer of $ 23,000 into a tax haven



The company from Google transferred 19,900 million euros (22,700 million dollars) through a Dutch company to Bermuda in 2017, as part of an agreement that allows you to reduce your foreign tax bill, according to documents submitted to the Dutch Chamber of Commerce.

This amount was channeled through Google Netherlands Holdings BV was four million ($ 4,558,664) more than in 2016, according to documents submitted on December 21st.

"We pay all taxes due and comply with tax laws in all countries where we operate around the world"Google said in a statement.

For more than a decade, and said the deal allowed the Google owner to enjoy an effective single tax rate of his earnings outside the US, about a quarter of the average tax rate on their foreign markets.

This subsidiary of the Netherlands is habitual transfers the proceeds of the royalty earned outside the US to Google Ireland Holdings, a Bermuda-based subsidiary, where companies do not pay income taxes.

The tax strategy, known as the "double double Irish sandwich" is legal and allows Google to avoid activating income taxes or European taxes on funds, According to The Guardian, these funds represent most of their profits abroad.

But due to the pressure exerted by the European Union and the US, Ireland has decided to abolish the agreement and put an end to the tax benefits that Google has, but by 2020.

Google Holland Holdings BV paid taxes in the Netherlands worth 3.4 million euros ($ 3.8 million) in 2017, according to documents, with a gross profit of 13.6 million euros ($ 15.5 million).


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