Gilead saves US$10b in taxes as pricey hep C drug takes off

New York

GILEAD Sciences Inc's profit margin has soared and its tax rate has plummeted since the drugmaker introduced its controversial US$1,000-a- day medication for hepatitis C, according to a report by an advocacy group that accuses the company of using accounting gimmicks to stash billions in earnings in tax havens offshore.

By moving some of its intellectual property to Ireland, Gilead was able to employ a common strategy that cut its US tax bill by US$10 billion since 2013, according to Americans for Tax Fairness (ATF), a left-leaning think-tank.

Two-thirds of Gilead's sales of the breakthrough hepatitis C drug Sovaldi are in the US - but the Foster City, California-based co…