Google Ireland agrees €345m tax settlement with Revenue

Tech giant Google Ireland agreed a €218 million tax settlement with Revenue this year, according to documents just filed. This formed part of its total corporate tax bill of €622 million, which is detailed in its 2020 financial accounts.

Google Ireland also paid €127.2 million in interest to Revenue, the company documents show, bringing the full settlement to €345.2 million.

During 2021, Google paid interim dividends of €3 billion to its immediate parent. The company is ultimately owned by Alphabet.

The accounts also show tech giant’s wage bill exceeded €500 million for the first time in 2020, with employees paid more than €120,000 on average.

Its pretax profit totalled €2.85 billion, compared with €1.94 billion in 2019. The company paid a total tax charge of €622.3 million in 2020 with €2.23 billion credited to reserves.

A note included in the accounts acknowledges the tax settlement: “Subsequent to year-end, the company agreed to the resolution of certain tax matters relating to prior years. This tax liability and associated interest are recognised in the current financial year.”

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