On Wednesday, Bloomberg published an article titled “P&G Is Under Investigation in Italian Tax Probe.” In it, the world’s largest consumer-products maker is being investigated for routing revenue through Swiss and other units to avoid paying taxes in the country. Joining the likes of Apple (NASDAQ:AAPL), Google (NASDAQ:GOOG) and Amazon (NASDAQ:AMZN), P&G (NYSE:PG) would, if guilty, probably need to pay a little bit more than what Google had paid. According to the article, Google was allegedly underpaying taxes totaling $277 million from 2009 and 2013, representing some 20% of Italy’s sales.
On average, Google made $4.4 billion in the U.K. in the aforementioned time frame. Identifying exact figures for Italy sales would be tricky. In comparison, P&G had 27% or $21.9 billion of its sales from Europe between 2013 and 2015. Interestingly, P&G stated in its 10-K that it did not have any individual country that had contributed to more than 10% of its total sales. Continue Reading »