Category: McDonalds

McDonald’s to scrap Luxembourg tax structure

Fast-food chain’s reorganisation means £800m from restaurants in Europe will flow through the UK instead McDonald’s is to scrap its controversial Luxembourg tax structure in a corporate shakeup that means $1bn (£800m) of income from fast-food restaurants across Europe will flow through the UK instead. The move comes 12 months...

McDonald’s UK pays £123m in royalties to Luxembourg

The British arm of McDonald’s paid £123m for “franchise rights” last year, as part of a controversial structure that is under investigation for enabling unfair tax avoidance. The European Commission launched a probe last year into whether Luxembourg’s tax arrangements for McDonald’s amounted to illegal state aid, as part of...

EU opens probe into tax deals between Luxembourg and Engie

European Union antitrust regulators opened a probe on Monday into tax deals granted by Luxembourg to French power utility Engie, stepping up the EU’s campaign against tax avoidance by multinationals. The European Commission said it had concerns the tax rulings granted by Luxembourg since 2008 appeared to treat the same...

Tax haven route won’t work for post-Brexit UK, OECD says

The United Kingdom is unlikely to try to lure international investment by becoming a tax haven after it leaves the European Union, according to an internal memo prepared by the body responsible for the drafting international tax rules. The head of tax at the Organization for Economic Co-operation and Development,...

LuxLeaks whistleblower trial begins in Luxembourg

The former PwC employee turned whistleblower behind the LuxLeaks scandal that implicated Luxembourg in industrial tax avoidance went on trial in the tiny European duchy on Tuesday. Antoine Deltour, 30, a former auditor at global accounting firm PwC, is accused of stealing documents from his employer before he quit the...

France Hits McDonald’s With $341 Million Tax Demand : Possibly Unfairly

The French taxman, Le Fisc, has apparently decided to send McDonald’s MCD -0.24% France a tax bill for €300 million ($341 million). It’s not entirely obvious that this is a correct demand: nor, in fact, necessarily a legal one. If there were no European Union and no rules about the...

Commission to extend state aid investigation into more transfer pricing agreements

The European Commission is looking into advance pricing agreements (APAs) given to financing companies and other businesses to see if they constitute illegal state aid, the MNE Tax news site has reported EU competition commissioner Margrethe Vestager told the European Parliament’s TAXE 2 committee that her office has reviewed 1,000...

Tax tensions between the US and Europe hit new high

In the final session of the two day Global Tax Conference at Dublin Castle yesterday, a senior Canadian tax advisor used the analogy of children playing football to describe the relationship between multinationals and government when it comes to tax. In a kids football match, he said, when the ball...

EU Seeks Broader Crackdown On Corporate Tax Loopholes

BRUSSELS (Alliance News) – The EU stepped up the fight against corporate tax avoidance Thursday, unveiling proposals including an EU-wide blacklist of international tax havens, as part of a wider clampdown on firms using loopholes to reduce their tax bills. The EU’s executive estimates that member states are deprived of...

Europe cracks down on tax dodgers

Directive follows a series of high-profile tax cases involving Google, Apple and others. Rampant corporate tax dodging and sweetheart deals that cheat governments and skew markets, have prompted the European Commission to unveil a new directive Thursday. The proposed legislation follows a quick succession of tax rulings, settlements and investigations...

Apple Steps Up Lobbying Efforts Against European Tax Probe

Apple Inc. is pushing back against an European tax investigation that could force the iPhone maker to pay more than $8 billion in back taxes. Chief Executive Officer Tim Cook met with the European Commission’s antitrust chief Margrethe Vestager in Brussels on Thursday to press the company’s case. After the...

Apple could owe $8billion of back taxes in Europe amid claims company sheltered overseas profits in Irish tax havens

European Commission is due to rule on Apple’s tax affairs in March But recent rulings suggest that report is likely to go against tech giant Probe investigating if firm negotiated low tax rate with Irish authorities If taxes are recalculated at higher rate, Apple could end up owing $8bn Apple...

Italian groups seek EU antitrust probe into McDonald’s

BRUSSELS – Three Italian consumer organizations have urged EU antitrust regulators to investigate McDonald’s (MCD.N) franchise system in Europe, a month after the opening of an EU inquiry into the U.S. fast food company’s tax deals with Luxembourg. Codacons, Movimento Difesa del Cittadino and Cittadinanzattiva filed their complaint with the...

EU adopts new transparency rules

The EU Council has adopted a new transparency directive aimed at preventing corporate tax avoidance The directive, which was proposed by the European Commission (EC), is aimed at improving transparency on tax rulings given by member states to companies about how their taxes are calculated. Under the new directive, member...

Luxembourg says to appeal against EU tax ruling on Fiat

The Luxembourg government said on Friday that it would appeal against the European Commission’s decision ordering it to recover 20-30 million euros ($22-33 million) of back taxes from Fiat Chrysler. The Commission ruled in October that Fiat had benefited from illegal tax deals with the Luxembourg authorities, as well as...

Bramwell’s Lunch Beat: ‘Cadillac Tax,’ Tax Extenders, BEPS Hearings

Lawmakers seek late deal to scale back ‘Cadillac tax’ Lawmakers are making a late push to repeal or scale back Obamacare’s “Cadillac tax” by the end of the year, eying inclusion of changes in a broader tax package, wrote Peter Sullivan of The Hill. But lawmakers in both parties say...

McDonald’s Investigated for European Tax Evasion

The U.S. multinational will likely be investigated for evading taxes with Luxembourg’s help, following a report by trade unions earlier this year. McDonald’s is under investigation by European Union regulators for illegal tax deals with Luxembourg, according to sources close to the inquiry. The multinational—joining a list of EU tax...

3 Stocks to Buy if Chris Christie Becomes President

A Chris Christie administration would likely make shareholders at some major U.S. companies very happy. The two-term New Jersey Governor has called for an array of pro-growth, business-friendly reforms as he bids for the Republican nomination. Christie is in favor of lowering corporate taxes so companies earn more profits, raising...

Tax Justice for Social Justice

By Martina Neuwirth and Thomas Kattnig [This blog article published on July 9, 2015 is translated from the German on the Internet, http://blog.arbeit-wirtschaft.at.] June 23 was the international day of public services. Did you know that? Provision of these services – water, hospitals, schools, culture, energy, streets, public transportation and...

Pat McDonagh hits out at McDonalds alleged tax avoidance

Galway Bay FM Newsroom – Supermac’s boss Pat McDonagh has spoken out against McDonald’s alleged tax avoidance schemes which could have reportedly cost the EU almost 4 billion euro. It follows a meeting of the European Parliaments TAXE Committee today to investigate the 3.7 billion euro tax avoidance. It’s alleged...

European Parliament mulls lobby ban for big companies

The European Parliament’s special tax committee is seeking to punish multinationals for refusing to send representatives to a hearing in June by revoking lobbyist passes and preventing access to senior European Commission officials. AB InBev, AmazonEU, Barclays Group, Fiat Chrysler Automobiles, Google, HSBC Bank, Ikea, McDonalds and The Coca-Cola Company...

Tax probes frustrate EU competition chief

Cracking down on sweetheart tax deals with multinational corporations is proving more difficult than the European Commission had anticipated. Delays, uncooperative member states, and missed deadlines are among the frustrations highlighted Tuesday (5 May) by the EU’s competition chief, Margrethe Vestager. Speaking at a special committee on tax rulings at...

McDonald’s faces potential €1bn EU tax avoidance probe

US fast-food giant McDonald’s could be facing a European Commission (EU) investigation into its tax affairs. EU competition commissioner Margrethe Vestager said she is looking into trade union allegations that the restaurant chain avoided paying more than €1bn (£658m; $1.1bn) in corporate taxes between 2009 and 2013. Unions claim McDonald’s...

EU delays decisions on Apple, Amazon tax probes

BRUSSELS–The European Union won’t meet a self-imposed June deadline for deciding whether four multinational companies including Apple Inc. and Amazon.com Inc. benefited from illegal tax sweeteners, the bloc’s antitrust chief Margrethe Vestager said Tuesday. “We won’t meet the deadline we set ourselves [of] the end of the second quarter,” Ms....

Mary Lou McDonald refuses to apologise over offshore accounts

Sinn Féin deputy leader denies she named politicians to ‘cause public controversy Sinn Féin deputy leader Mary Lou McDonald has again refused to apologise for naming a number of former politicians in the Dáil chamber. Ms McDonald could face a motion of censure for her decision to list a series...

FF may table motion of censure against McDonald

SF deputy leader criticised for naming ex-politicians of having Ansbacher accounts Fianna Fáil will today discuss tabling a motion of censure against Sinn Féin deputy leader Mary Lou McDonald over her decision to use Dáil privilege to name former politicians who were accused of having offshore bank accounts to evade...

Committee says McDonald abused privilege in remarks on alleged tax evasion

Mary Lou McDonald named six former politicians last December The Dáil disciplinary committee says Mary Lou McDonald abused her parliamentary privilege in remarks about alleged tax evasion. The Committee on Procedures and Privileges says the Sinn Féin deputy leader should not have named six former politicians – who were alleged...

The Biggest Tax Scam Ever

I n July, the American pharmaceutical giant AbbVie, maker of the world’s top-selling drug – the arthritis treatment Humira – reached a blockbuster deal to acquire European rival Shire, best known for the attention-deficit medication Adderall. The merger was cheered by Wall Street, not for what the deal will do...

Ortega’s Zara Fashions Tax Avoidance by Shifting Profits to Alps

Zara’s celebrity chic helps make its Spanish parent company, Inditex SA, the world’s biggest fashion retailer. Singer Taylor Swift, reality-television personality Kim Kardashian and Kate Middleton, Prince William’s wife, have all been spotted wearing the stylish, low-cost brand. Another reason for Inditex’s industry-best profit margins of almost 15 percent: the...