Dr. Dre establishes three companies to get a tax break.
Dr. Dre's Beats Electronics has set up shop in Ireland to reduce tax liability through the country's generous corporate tax rate.
According to Irish Examiner, the West Coast veteran has established three separate companies including Beats Electronics Services Ltd and Beats Electronics International Ltd. in Clonakilty, Co Cork. The companies share the same address as O’Mahony Donnelly accountants, who explain how they help international businesses operate in Ireland.
"Since I established O’Mahony Donnelly here in 2000 we’ve worked with a number of multinational corporations to get them set up in Ireland. This has become a great niche for our firm," says Michael O'Mahony. "We set up limited companies, provide company secretarial services including providing a registered company address, as well as other accountancy and business advisory services."
The establishment allows for "money to be channelled between the separate companies in the form of royalty payments or license fees to artificially but legitimately reduce profits as a means of reducing tax liabilities." U2 took similar measures with their publishing company back in 2006.