Cupertino Settles With State in Apple Sales Tax-Sharing Fight

Apple Inc.'s home town of Cupertino, Calif., will get to keep millions in sales tax revenue it has received and anticipated through August of this year, in a settlement announced Thursday with the state Department of Tax and Fee Administration.

The deal resolves a dispute the city has fought since the department started an audit in late 2021 of the revenue derived from a deal on taxation of Apple’s online sales within California. Under a 26-year tax-sharing agreement with the city, Apple has treated all the in-state online purchases as having been made in Cupertino. A one-point ...