How Facebook Reported A 2012 Pre-Tax Loss Of €626K In Ireland Despite Gross Profits Of €1.79B
Facebook Ireland turned a gross profit of €1.79 billion ($2.45 billion) in 2012, but it reported a pre-tax loss of €626,000 ($857,243). This may sound sketchy, but the company was fully compliant with the law. Financial Times explained how this happened.
Facebook Ireland turned a gross profit of €1.79 billion ($2.45 billion) in 2012, but it reported a pre-tax loss of €626,000 ($857,243). This may sound sketchy, but the company was fully compliant with the law. Financial Times explained how this happened.
According to FT, Facebook Ireland paid Facebook Holdings — its parent company, which is also based in Ireland — €1.75billion ($2.4 billion) in administrative expenses for the use of intellectual property for its technology platform.
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