(Zero Hedge) When it comes to taking advantage of European tax loopholes, Google and its parent company Alphabet may have just superseded Apple in the eyes of EU regulators.
Because in a recent filing, Google disclosed a “totally legal” tax-avoidance scheme involving a soon-to-be-phased-out strategy known as the “Double Irish, Dutch Sandwich.”
While it may sound like an exotic menu item from a Midtown Irish pub, the DIDS is so much more than that: The strategy involves using a Netherlands-based subsidiary to shift royalties paid in Europe – Google EU is headquartered in Dublin – to Google Ireland Holdings, the company’s Bermuda-based affiliate. According to a Google filing with the Dutch Chamber of Commerce, the company funneled 19.9 billion euros ($22.7 billion) through the subsidiary to its Bermuda tax haven in 2017, around 4 billion euros ($4.5 billion) more than 2016, Reuters reported.
