Apple will be in front of the senate next week as it is questioned about its tax practices.

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Apple CEO Tim Cook is expected to testify as part of the Senate Permanent Subcommitte's investigation next Tuesday, according to a Politico report.

The company has been under fire for its tax practices. Last year a New York Times report claimed that Apple uses offices in states other than California, where it’s headquartered, and countries outside the US to help minimize its overall tax burden.

The report pointed to Apple’s subsidiaries in Luxembourg, Ireland and the British Virgin Islands, and claimed that some are "some little more than a letterbox or an anonymous office - that help cut the taxes it pays around the world."

"Apple was a pioneer of an accounting technique known as the 'Double Irish With a Dutch Sandwich,' which reduces taxes by routing profits through Irish subsidiaries and the Netherlands and then to the Caribbean," claimed the report, a practice that it claims is now imitated by a number of companies.

Apple responded to a New York Times report claiming that it is “among the top payers of US income tax” and also that it is among the top creators of American jobs.

Apple has the following statement regarding tax: "Apple is one of the largest taxpayers in the United States, having paid $6 billion in federal corporate income tax in fiscal 2012. We also help create hundreds of thousands of jobs in the U.S. by keeping our R&D in California and creating category-defining products like the iPhone, iPad and the app store, which has generated billions of dollars in sales for software developers."

US Senator Tom Coburn was said to be "livid" about Apple’ only paying 9.8% tax.

The most recent example of Apple avoiding tax was its decision to sell bonds to investors rather than repatriate money, choosing to borrow money rather than pay what is estimated to be $9.2 billion worth of taxes.

The company is said to have $100 billion offshore.

Apple isn’t the only company being investigated i the US for its tax avoiding behaviour. Microsoft and HP have already testified.

Nor is it only America that is criticising Apple's tax practices. Back in February, the British, French and German governments launched a joint initiative to crack down on tax avoidance and stop big firms that "country-hop to pay less tax".

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