03/08/18

ASIA: South Korea Moving to Tax Apple, Amazon, Google & Other Tech Companies.

(Apple Insider) -- Amidst cries of "reverse discrimination" from South Korean politicians, the government of the country is planning to collect taxes from Apple, Google, Amazon and other global tech giants for the first time.

According to a report by the Korea Times, South Korea's government is planning to "move quickly" to impose taxes on foreign companies, including Apple, Google and Amazon. Current law does not require them to pay corporate taxes there.

The dispute represents a repeat of Apple's recent experience in Ireland, which Apple long treated a tax haven before its government recently began collecting taxes.

Politicians in South Korea have complained of "reverse discrimination," in that South Korean companies both pay taxes and abide by regulations, while foreign firms doing business in the country are not subjected to such restrictions. Samsung, both a supplier and main rival of Apple, is headquartered in South Korea.

Last November, South Korean authorities raided Apple's offices in that country, ahead of the launch of the iPhone X. The raid was part of what was described as an ongoing probe.

Apple opened its first Apple Store in South Korea this past January. in the Gangnam area of Seoul. In April, Apple poached Brandon Soon, a veteran of Microsoft and Samsung, to head up Apple Korea.