Subsidy Tracker Individual Entry

Company: 
Apple
Parent Company: 
Apple Inc.
Subsidy Source: 
local
Location: 
California
City: 
Cupertino
Project Description: 

headquarters

Year: 
1997
Major Industry of Parent: 
electrical and electronic equipment
Specific Industry of Parent: 
computers
Subsidy Value: 
$70,000,000
Program Name: 
Sales tax diversion
Awarding Agency: 
Cupertino City Council
Type of Subsidy: 
megadeal
Source of Data: 

Laura Mahoney, "Apple's Hometown Pays $70 Million, and Counting, to Keep HQ," Bloomberg Tax, published June 13, 2019; online at https://news.bloombergtax.com/daily-tax-report/apples-hometown-pays-70-m...

Notes: 

The amount was calculated by Bloomberg Tax reporters. Cupertino, Apple's home town, has diverted $70 million in sale taxes back to the company since 1997, the year the subsidy agreement was signed. The amount of subsidy is a cumulative amount as of 2019 and will grow in future years. Currently, Apple receives "35 percent of the local sales taxes collected on sales of its products to businesses in California and at its two retail stores in Cupertino" (see source note); between 1997 and 2013, the diversion was 50 percent. In return, the company promised to keep its HQ in Cupertino. No overlaps with other Subsidy Tracker data.

Source Notes: 
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