Revenue issues second-biggest tax demand by State to pharma giant

Revenue issues second-biggest tax demand by State to pharma giant

Revenue has issued a tax bill of €1.6b to a major pharmaceutical company.

The assessment is the second largest in Irish history after Apple was ordered to pay €13bn in 2016.

The tax bill served on Dublin-based pharma company Perrigo relates to Elan, a company that was bought by Perrigo five years ago.

Elan sold its interests in a multiple sclerosis drug in 2013 to a company called Biogen for an up-front payment of $3.25bn and a share of future royalties.

According to the Irish Times, the company said that taxes were paid on the profits from the transaction at the corporation tax rate of 12.5%.

However, Revenue argues that Elan was liable at the capital gains tax rate of 33%.

Perrigo has said it disagrees with Revenue and intends to contest the bill.


More in this Section

National Lottery apologises for scratchcard errorNational Lottery apologises for scratchcard error

Drugs found in washbag behind shed in CorkDrugs found in washbag behind shed in Cork

LGBTQ+ relationships should be on sex education curriculum, review saysLGBTQ+ relationships should be on sex education curriculum, review says

Woman caught with €800 worth of cannabis said it was meant to go into prisonWoman caught with €800 worth of cannabis said it was meant to go into prison


Lifestyle

Don’t just bung this festive favourite in a boring pot and wait for it to wilt, says Hannah Stephenson.How to style your Christmas poinsettia

More From The Irish Examiner