Apple will pay $38bn tax debt and allow users to disable iPhone slowing

This is an emerging story which needs expansion if you wish to EDIT to add information or discuss it in TALK. 

Apple is to pay $38 billion in US taxes to repatriate some of its foreign wealth, reports the Wall Street Journal. The company also announced it will spend $30 billion in the US over the next five years, creating 20,000 jobs and opening a new corporate campus.

Apple CEO Tim Cook also announced that iPhone users will soon be able to turn off the system that is slowing down ageing phones.

Apple was accused of slowing down the performance of old phones in order to make up for the wasted batteries. After complaints and lawsuits, the company apologized offered their customers cheaper battery replacements (Forbes).

Now the next move, according to Cook, would be an update that allows people to turn off the performance-reduction option. These changes are expected to launch in the next month or so (TechCrunch).

The one-off tax payment will take advantage of recent changes to the US tax laws which allow companies to pay a fee of 15.5 percent on repatriated profits (The Guardian). The previous rate was 35 percent.

In 2013, a Senate committee accused Apple of using a “highly questionable” system of offshore vehicles to avoid paying taxes in the US.

Cook said: “Apple is a success story that could only have happened in America, and we are proud to build on our long history of support for the U.S. economy.” (LA Times).

Apple has not detailed how much of its foreign reserves it intends to repatriate.

This is an emerging story which needs expansion if you wish to EDIT to add information or discuss it in TALK.

Image information

  • TODO tags

      Is there a problem with this article? [Join] today to let people know and help build the news.
      • Share

      Subscribe to our newsletter

      Be the first to collaborate on our developing articles

      WikiTribune Open menu Close Search Like Back Next Open menu Close menu Play video RSS Feed Share on Facebook Share on Twitter Share on Reddit Follow us on Instagram Follow us on Youtube Connect with us on Linkedin Connect with us on Discord Email us