Google Ireland paid €171m in tax last year

According to the US firm's latest set of financial accounts for its Irish operation, turnover increased by €5.9 billion in 2017 to €32.2 billion, with the rise primarily driven by higher advertising revenue

Google Ireland paid just under €171m in tax last year on profits of €1.16 billion, giving the company an effective tax rate here of 14.69%.

This compares with a tax bill of €163.8m on profits of €1.18 billion for 2016 (effective tax rate of 13.8%).

According to the US firm's latest set of financial accounts for its Irish operation, turnover increased by €5.9 billion in 2017 to €32.2 billion, with the rise primarily driven by higher advertising revenue.

However, cost of sales - which covers the costs of traffic acquisition - rose by over €2 billion year-on-year to €9 billion.

The results show Google Ireland paid a dividend of €1.6 billion to its US parent.

An increase in headcount here, as well as more investment in sales & marketing across Europe, the Middle East and Africa saw administrative expenses rise by €3.5 billion to €21.9 billion

The tech giant now employs 3,428 people in Ireland - which is a rise of 7% on the 2016 figure.

Commenting on the results, VP and Head of Google Ireland Fionnuala Meehan said: "2017 was a year of continued growth with global demand for our advertising products and services continuing to increase.

"The EMEA sales organisation here in Dublin is driving that growth across Europe and we continue to deliver value for our advertisers, publishers and partner networks."