IAC Doubles Irish Profits, Paying Zero Tax

IAC Search and Media Technologies Limited, the Irish branch of Match Group owner IAC, has announced its overall profits doubled in 2019. Due to favourable laws in Ireland for royalties and patents, the company did not pay any tax.

Profits increased by just over 108% to $63.2m, which the executives attributed to “changes in the business mix” and inter-group loans.

The Irish subsidiary paid a $235.5 million dividend to the main IAC office based in New York City.

IAC reported total revenues of $1.25 billion in its recent Q3 financial results, a 13% year-on-year increase.

It also gave more details about future plans to spin off Match Group as a standalone business. The online dating company was responsible for 40% of the umbrella’s quarterly revenue.

According to CEO Joey Levin, the process is going to take longer than initially expected but he hopes neither business will be negatively affected by the deal or lose any of its value.

Match Group stock is set to be redistributed among current IAC shareholders at a ratio of approximately 2.6 Match Group shares for every one IAC share.

Meetic, the French wing of Match Group, was subjected to the country’s new tax law in July. Large technology companies that bring in revenues of over €25 million in France and €750 million worldwide are expected to pay a new 3% tax.

Read more here.