Google Makes $14.42 Billion in Q4, $50 Billion During 2012

[zakislam]

Represents an increase of 36 percent versus 2011's fourth quarter.

Google Makes $14.42 Billion in Q4, $50 Billion During 2012 : Read more

 

[cruiseoveride]

You go Google! Smack that apple.

 

[thecolorblue]

Taxes Paid... practically nothing.

http://www.guardian.co.uk/business/ireland-business-blog-with-lisa-ocarroll/2011/mar/24/google-ireland-tax-reasons-bermuda
http://www.siliconvalleywatcher.com/mt/archives/2011/03/heres_how_googl.php
http://www.businesspundit.com/25-corporations-that-pay-less-taxes-than-you-do/
http://delimiter.com.au/2012/05/03/google-australia-1bn-in-revenue-74k-in-tax/

 

[thecolorblue]

2011 --> Google Australia: ~$1bn in revenue, $74k in tax

gotta love that!

 

[thecolorblue]

Google pays ~2.4% tax rate thanks to a popular strategy known as the “Double Irish.”

 

[ericburnby]

They didn't "make" $14.42 billion, they made $3.57 billion. $14.42 billion is their gross income before expenses.

 

[thecolorblue]

[citation][nom]ericburnby[/nom]They didn't "make" $14.42 billion, they made $3.57 billion. $14.42 billion is their gross income before expenses.[/citation]
Technically true... blatantly false --> thus the "Double Irish"

"expenses" such as licensing fees for copyrights, trademarks and patents to their wholly owned subsidiaries located abroad.

http://en.wikipedia.org/wiki/Double_Irish_arrangement

 

[thecolorblue]

It's quite simple really. Example from 2009:

"The 2009 Google Ireland Limited accounts show the company turned over a phenomenal €7.9bn in Europe for the year ending 2009 - up from €6.7bn the previous year.

The internet giant made a gross profit of €5.5bn, with an operating profit of €45m after "administrative expenses" of €5.467bn were stripped out.

Administrative expenses largely refer to royalties (or a licence fee) Google pays its Bermuda HQ for the right to operate.

http://www.guardian.co.uk/business/ireland-business-blog-with-lisa-ocarroll/2011/mar/24/google-ireland-tax-reasons-bermuda

good times

 

[m32]

[citation][nom]thecolorblue[/nom]Taxes Paid... practically nothing.http://www.guardian.co.uk/business [...] ns-bermudahttp://www.siliconvalleywatcher.co [...] _googl.phphttp://www.businesspundit.com/25-c [...] an-you-do/http://delimiter.com.au/2012/05/03 [...] 4k-in-tax/[/citation]


Hater, how much Apple pays?

 

[thecolorblue]

[citation][nom]m32[/nom]Hater, how much Apple pays?[/citation]
>_<

Facts are facts.

If google were the only corporation with this tax dodging strategy it would be called the "Double Google" rather than the "Double Irish". Nobody implied that Apple doesn't employ the same strategy, and if you bothered to glance at the 3nd link in the bit you quoted you'd see 24 corporations mentioned besides google.

 

[wemakeourfuture]

[citation][nom]m32[/nom]Hater, how much Apple pays?[/citation]

A lot more in taxes and at a much higher rate. They do some offshore stuff, NOTHING to the extent Google or Microsoft engage in. Apple pays a much higher tax rate in the US than either of those companies. Plus they way you're say "how much Apple pays?" I can tell you're not really asking a question but trying to imply Apple is as bad or worse than Google and that's far from the truth. Google is one of the worst large cap company when it comes to tax avoidance. This is well documented, just like 'thecolorblue' has been gracious enough to provide the links.

'thecolorblue' is not a hater simply stating the egregious practice by corporations who make billions in certain countries but are finding every loop hole to escape taxes.

For example, Google generates about $4 billion in the U.K., at least about $1 billion in profit, but paid about $10 million in taxes, you think that's right or fair?

http://www.telegraph.co.uk/technology/google/9739039/Googles-tax-avoidance-is-called-capitalism-says-chairman-Eric-Schmidt.html

I sure know I cannot avoid taxes like Google, I pay my fair share, too bad Google doesn't feel that way. The average citizen cannot avoid taxes by using off-shore jurisdictions not sure why corporation are allowed to get away with this wanton excessive greed , except they spend millions donating to politicians and lobby groups to get their way.

 

[s997863]

how about a primer article on what exactly they get income from & how much? I'm still finding it hard to grasp this complicated idea of free, non-tangible services making so much money. I don't pay for search or gmail, but I understand that advertising companies pay google for smalle spaces on the pages I browse, right? is that the only kind of income or do they also have other cash income not related to advertising? i never buy products just cause i saw an ad so it's just beyond me that so much money is paid for ads??

 

[alidan]

[citation][nom]thecolorblue[/nom]Taxes Paid... practically nothing.http://www.guardian.co.uk/business [...] ns-bermudahttp://www.siliconvalleywatcher.co [...] _googl.phphttp://www.businesspundit.com/25-c [...] an-you-do/http://delimiter.com.au/2012/05/03 [...] 4k-in-tax/[/citation]

i wish google got moeny back, and in the ammount of billions, something so obsurd that the people realize that something is effed up, and change needs to happen.

i support a flat tax across the board, everything, taxed the same, in 3 classes
people
small business
big business

 

[Guest]

What people overlook is that the large after tax profits by google are available for dividend distributions to shareholders, which are taxed at their marginal tax rates, either high or low depending on the recipient. What this implies is that while corporate tax recoveries for the IRS are low at the initial onset, the personal taxes on dividends do make up for a bit of the shortfall. The problem with Google is that it can be greedy and use the money to reinvest back into the business, rather than distribute it as dividends.

 

[christarp]

[citation][nom]m32[/nom]Hater, how much Apple pays?[/citation]
Well, apple paid 6 billion in federal income tax in 2012, that's 1/40th of the entire federal income tax the us gets out of every company combined.

 

[doive1231]

Soon their revenue will be a googol.

 

[AM2A]

[citation][nom]s997863[/nom]how about a primer article on what exactly they get income from & how much? I'm still finding it hard to grasp this complicated idea of free, non-tangible services making so much money...[/citation]
They break down their revenue sources here (it's lacking in detail, not uncommon):
http://investor.google.com/earnings/2012/Q4_google_earnings_tab7.html
total advertising revenue is reported as 43.686 billion, figures are unaudited