Google Inc. avoided about $2 billion in worldwide income taxes in 2011
by shifting $9.8 billion in revenues into a Bermuda shell company,
almost double the total from three years before, filings show.
By legally funneling profits from overseas subsidiaries into Bermuda,
which doesn’t have a corporate income tax, Google cut its overall tax
rate almost in half. The amount moved to Bermuda is equivalent to
about 80 percent of Google’s total pretax profit in 2011.
The increase in Google’s revenues routed to Bermuda, disclosed in a
Nov. 21 filing by a subsidiary in the Netherlands, could fuel the
outrage spreading across Europe and in the U.S. over corporate tax
dodging. Governments in France, the U.K., Italy and Australia are
probing Google’s tax avoidance as they seek to boost revenue during