tax

Facebook's Saverin: I'm a 'global citizen,' not a tax dodger

Facebook co-founder Eduardo Saverin, who is simultaneously becoming one of the richer and more reviled people around, wants to set the record straight.

Saverin, who helped Mark Zuckerberg launch Facebook in 2004, will become an instant billionaire when the social-networking giant goes public in its massive IPO later this week. But Uncle Sam's tax bite is expected to be tempered by the fact that Saverin, a Brazilian who immigrated to the U.S. as a boy to avoid kidnapping plots, has renounced his U.S. citizenship.

The recent revelation has raised the consternation of many, including my ZDNet colleague … Read more

Tim Cook visits Capitol to speak with House Speaker Boehner

A mysterious photo surfaced on U.S. Speaker of the House John Boehner's blog today -- it's of him chatting with Apple CEO Tim Cook in a formal setting.

There's no text to go with the photo, only the caption: "Speaker John Boehner met with Tim Cook, CEO of Apple Inc., at the U.S. Capitol today."

There was no formal announcement that the two would meet and it's unclear what was discussed. CNET has contacted Apple for more information and will update this report when we learn more.

Among the list of "… Read more

Facebook co-founder renounces U.S. citizenship ahead of IPO

Facebook co-founder Eduardo Saverin has renounced his U.S. citizenship ahead of the company's IPO, Bloomberg reported -- a move likely calculated to help him dodge capital-gains taxes.

Saverin, one of a handful of people who helped Mark Zuckerberg start Facebook at Harvard in 2004, hasn't been active at the company for many years. He still holds an estimated 4 percent of Facebook, however, a stake worth as much as $3.8 billion, Bloomberg calculated.

"Eduardo recently found it more practical to become a resident of Singapore, since he plans to live there for an indefinite period … Read more

Apple's reputation untarnished by tax issue, study says

Apple's use of various tax loopholes to save money, as chronicled in a recent New York Times story, has not damaged the company's reputation, according to a new study.

Polling firm YouGov -- which we've previously mentioned in relation to one of Facebook's early privacy flaps -- says perceptions of Apple are back to where they were before the publication of the Times story, which focused on the company's tactics to save money by setting up businesses in tax-friendly locations.

The firm says Apple's reputation is "virtually Teflon," when compared to the tax story … Read more

Apple strikes tax deal for new campus in Texas

Apple and Austin are in business together for the company's new Texas campus, following a vote from the local court.

The Austin-based Statesman newspaper reports that the Travis County Commissioners Court today voted 4-1 in favor of a deal that will give Apple $5.4 million to $6.4 million in tax rebates over the next 15 years as the company constructs a campus that will bring some 3,600 jobs to the area.

The decision comes days after a local official said a deal was "in peril." Concerns were raised about the contract, which remained under … Read more

Apple responds to tax criticism by highlighting job creation

Apple responded today to criticism that the company goes to great lengths to cut its global tax bill by billions of dollars every year, trumpeting the "incredible number of jobs" it has created.

The statement was in response to an in-depth report published yesterday by The New York Times that depicted Apple as a pioneer in developing ways to sidestep taxes and that claimed companies seeking to do the same have used its methods as templates. "Apple serves as a window on how technology giants have taken advantage of tax codes written for an industrial age and … Read more

The Times takes on Apple again, with report on taxes

The New York Times is once again putting Apple under the microscope, with a new, in-depth report about the tactics the company uses to cut its global tax bill by billions of dollars every year.

"Almost every major corporation tries to minimize its taxes, of course," the report says. Nevertheless, "Apple serves as a window on how technology giants have taken advantage of tax codes written for an industrial age and ill-suited to today's digital economy."

The report claims Apple has been a pioneer in developing ways to sidestep taxes and that companies seeking to … Read more

Amazon settles with Texas over sales tax

Amazon has reached another settlement over state taxes, this time with Texas.

Reuters reports that the giant e-tailer will start collecting sales tax in Texas come July 1, as part of a settlement that requires Amazon to bring 2,500 jobs and $200 million in capital investment to the state over the next four years.

In exchange for the jobs and money, Texas State Comptroller Susan Combs is dropping the state's demand for $269 million to cover sales taxes from 2005 to 2009, Reuters reports.

Amazon struck a deal with the state of Nevada earlier in the week whereby … Read more

New York accuses Sprint of tax fraud in $300M lawsuit

Sprint Nextel: tax dodger?

That's according to New York Attorney General Eric Schniederman, who filed a lawsuit against Sprint for allegedly failing to collect and pay sales tax to the state. Schniederman claimed Sprint missed out on $100 million in taxes and he's seeking $300 million in penalty.

It's a blow to Sprint as the carrier looks to get back on its feet financially. The company continues to lose money and is undertaking several costly projects, including the massive upgrade of its wireless network, as well as the hefty subsidies paid to Apple to carry the iPhone. … Read more