Facebook - Will no longer record its non-US revenue through Ireland

robut

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Facebook to pay taxes in country where advertising profits are earned instead of via Dublin HQ

Facebook has said it will no longer record its non-US revenue through Ireland in a major change to where it pays tax.

From next year taxes will be paid in the country where advertising profits are earned.

Revenue will be filed under the local company in the country where it is earned outside the US, chief financial officer Dave Wehner said.

The tech giant's move follows pressure on large multinationals over their tax affairs from governments and the public.
Impact on Ireland PLC .. if any??

Pressure from Trump and EU??
 


Wascurito

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They paid 29.5m in taxes here last year so the budgetary impact won't be huge.
 

Lumpy Talbot

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No
But... but... if all the multinationals start doing that will there be a precipitous fall in Irish GDP and will leprechauns start dying?
 

robut

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But... but... if all the multinationals start doing that will there be a precipitous fall in Irish GDP and will leprechauns start dying?
Facebook will no longer use Ireland as a global tax and revenue base

If the decision by Facebook is replicated by other major tech companies who have their international headquarters in Ireland, it could result in a reduction of tens of millions in the corporation tax collected by the State.
Which surely is a good thing?? More truthful figures
 

robut

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Facebook to stop booking ad sales through Irish HQ

Facebook has become one of the first large technology companies to shake up its tax structure and book less of its revenue in Ireland, as multinationals come under pressure to pay tax in the countries where they operate.

The world’s largest social network said next year it will move towards a local selling structure. Advertisements sold will be booked as revenue in the 25 countries across the world rather than at its international headquarters in Ireland.

The move could mean the company faces higher taxes as it books revenue in countries such as France, Germany and Italy. But depending on how it accounts for its expenses in each jurisdiction, it may not pay much more tax overall. Revenue from its self-serve platform, where millions of small advertisers buy inventory, will continue to be booked in Ireland.
To read whole article copy the headline below to google and click the 1st FT link of that title to open w/o paywall:

Facebook to stop booking ad sales through Irish HQ
 

gleeful

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This is probably good on balance. The loss to Ireland is minimal - Facebook's 2000+ staff in Dublin pay more income tax than the company pays in corporation tax anyway. And it takes pressure off Ireland to change the 12.5% rate. Ireland remains the best EU state for US multinationals to have their HQs.

If Google and Apple follow suit, good.
 

firefly123

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It's only fair really.

If our GDP numbers drop does that mean we pay less into the EU?
 

PC Principle

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This is probably good on balance. The loss to Ireland is minimal - Facebook's 2000+ staff in Dublin pay more income tax than the company pays in corporation tax anyway. And it takes pressure off Ireland to change the 12.5% rate. Ireland remains the best EU state for US multinationals to have their HQs.

If Google and Apple follow suit, good.
Why would that be possibly "good" for Ireland?

Irish people have been bragging about all the US MNC's for decades. Albeit mostly for egotistical reasons.

Personally I'll be glad if they all come back home to the USA.

#MAGA is happening baby.
 

gerhard dengler

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There will be some gross domestic product impact.

Until now companies such as Facebook were booking turnover generated outside of Ireland, to Ireland, and Ireland was including this repatriated turnover in our national gross domestic product data.
No more.
 

Half Nelson

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Is Apple money real money?
 

firefly123

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Why would that be possibly "good" for Ireland?

Irish people have been bragging about all the US MNC's for decades. Albeit mostly for egotistical reasons.

Personally I'll be glad if they all come back home to the USA.

#MAGA is happening baby.
That's quite a leap there fantasy boy.
The MNCs aren't just here for the tax breaks.
 

Dame_Enda

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As it happens the Trump tax bill would replace taxation on global income with taxation on a territorial basis. Dunno if it has something to do with that.
 

PC Principle

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That's quite a leap there fantasy boy.
The MNCs aren't just here for the tax breaks.
That's all they are there for.

Don't tell me you swallow that smoke screen garbage that it's because "of the highly edumacated wurkers" pumped out by politicians to fool the steeple so they can keep taxing you up the hole.

You sheep are subsidising the MNC's.
 

Filibuster

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It's got to do with saving face in the EU.
If anything this is not a bad thing for Ireland as it makes us 'more respectable'. Some of these structures are stretching things a BIT too far and if pushed too far backfire on us.
 

PC Principle

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It's got to do with saving face in the EU.
If anything this is not a bad thing for Ireland as it makes us 'more respectable'. Some of these structures are stretching things a BIT too far and if pushed too far backfire on us.
Ah the old "best boy in the class" reason.

Nobody respects Ireland in any tangible way.

That's why you lot are paying off odious foreign and domestic bank debt and so will your great great great grandkids until it's all paid off.

That's also why you have to vote twice on several referenda until you give the correct result.

Ireland is way better at losing respect than gaining it.
 

firefly123

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That's all they are there for.

Don't tell me you swallow that smoke screen garbage that it's because "of the highly edumacated workers" pumped out by politicians to fool the steeple so they can keep taxing you up the hole.

You sheep are subsidising the MNC's.
Calm down Walter Mitty.

There's the benefit of similar culture plus taxation plus incentivisation plus (yes) decent education plus stability.

Of course tax breaks help but I think we can adapt to whatever the orange baboon manages to drag through congress.

You're vain hope that we will be a wasteland while you live it up in the fantasy Vegas of your mind is not going to happen.
You still live in the box room of your folks house and still baulk at paying for the bloody internet
 

PC Principle

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Calm down Walter Mitty.

There's the benefit of similar culture plus taxation plus incentivisation plus (yes) decent education plus stability.

Of course tax breaks help but I think we can adapt to whatever the orange baboon manages to drag through congress.

You're vain hope that we will be a wasteland while you live it up in the fantasy Vegas of your mind is not going to happen.
You still live in the box room of your folks house and still baulk at paying for the bloody internet
You're going to reap just what you sow. - Lou Reed.
 


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