Google Inc (GOOG) Targeted by British PM Over Taxes

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“We pay lots of taxes; we pay them in the legally prescribed ways,” Schmidt said. “I am very proud of the structure that we set up. We did it based on the incentives that the governments offered us to operate.”

Both Google Inc (NASDAQ:GOOG) and Apple Inc. (NASDAQ:AAPL) have been prominent targets of EU officials in recent years. Apple was recently noted for raking in nearly $10 billion in 2011 revenues in Britain, yet paying an effective tax rate of about 0.15 percent. This was achieved via offshore subsidiaries, in addition to setting up shop in a low-tax EU country.

It’s possible that this latest effort may cause some movement among the G8, but how much is hard to determine. It may just lead companies like Google Inc (NASDAQ:GOOG) and others to change their operational structure in Europe.

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