Apple holds Europe to ransom: Tech giant threatens to cut jobs in EU after Brussels orders it to pay back £11BILLION in tax over 'illegal' sweetheart deal with Irish government

£11bn ($14.5bn) penalty issued is 40 times higher than previous EU record

Ireland will be asked to claw back billions but will refuse cash and appeal

Apple paid as little as 0.005% tax a year on its profits outside the US

In 2011 it made $22bn profits but just $55m was deemed taxable in Ireland

Tech giant will appeal and say EU figures are 'completely made-up'

Google and Amazon could be next with EU rulings due in the next year

US Treasury has warned EU not to pursue American companies over tax

By MARTIN ROBINSON, UK CHIEF REPORTER FOR BE INFORMED

PUBLISHED: 01:03 GMT, 30 August 2016 | UPDATED: 16:53 GMT, 30 August 2016

Apple has already threatened to cut jobs in Europe after Brussels ordered it to repay £11billion ($14.5billion) - the biggest tax bill ever imposed outside the US.

The European Commission's three-year investigation into Apple's sweetheart deal with Ireland has found it amounted to illegal state aid.

Its damning report published today says the tech giant paid as little as 0.005 per cent tax by funnelling its non-US profits through its Irish headquarters with no staff or premises then on to its $178billion (£120bn) offshore fund.

The giant tax bill, which could reach £16billion ($21 billion) because of interest, will not be difficult for the company to pay because it made $53.4billion (£35billion) last year - the biggest profit in corporate history.

But Apple will appeal saying the Commission's figures are 'completely made-up' and its CEO Tim Cook, who previously called the probe 'political c**p', is threatening EU job losses if they don't back down.

The US Treasury has also warned Brussels not to pursue American companies over tax avoidance - but McDonald's, Google and Amazon could be next.

Ireland has said it doesn't want Apple’s money even though it is equivalent to £2,400 for each of its 4.5million residents and would cover the costs of its national health service for a year.

Big bill: Apple, which has a base in Cork, pictured, must repay £11billion ($14.5bn) in unpaid tax because the EU says its sweetheart tax deal with Ireland amounted to state aid

In the firing line: Tim Cook, Apple's chief executive, pictured with Hillary Clinton campaign chairman John Podesta last week, has previously called the investigation 'political c**p' and has said his company will appeal against the ruling

Irish question: Apple ploughs all its non-US sales through Ireland, where the EU says it has been paying hyper-low tax rates. The majority of profits are then sent offshore where no tax is paid, with some going to America for research and development 

The Commission's landmark report says that between 2003 and 2014 Apple paid a rock bottom Irish tax rate on most of its profits outside the US before sending it to a tax haven where it paid no tax at all. It has more than £120billion stashed in offshore accounts.

EU Competition Commissioner Margrethe Vestager said: 'Member states cannot give tax benefits to selected companies-this is illegal under EU state aid rules.'

The EU intervention is going to cause a huge row between Brussels and Washington over tax powers.

The EC says Apple's Irish arrangements allowed them to pay just 500 euros in tax on every one million euros they made.

In 2011 Apple's profits outside America were $22billion but Ireland agreed that only 50 million euros ($55million) was considered taxable.

But Apple executives have now accused the Commission of doing the sums wrong in calculating the jaw-dropping £11billion ($14.5m) bill for unpaid tax.

It said in a statement: 'Apple follows the law and pays all of the taxes we owe wherever we operate. We will appeal and we are confident the decision will be overturned.

'Apple warned of the ramifications for future investment in Europe, where it employs 22,000 people.

'The European Commission has launched an effort to rewrite Apple's history in Europe, ignore Ireland's tax laws and up-end the international tax system in the process.

'It will have a profound and harmful effect on investment and job creation in Europe'

The company's chief financial officer, Luca Maestri, claimed the tech giant paid 400 million US dollars in tax in 2014 in Ireland.

He claimed Competition Commissioner Margrethe Vestager's assessment that Apple paid just 50 euro in tax for every one million euro it made that year was nonsense.

He said: 'It is a completely made-up number. We really believe that the impact of this decision will be devastating for the European economy.'

HOW APPLE'S $14BN TAX BILL WILL BARELY MAKE A DENT 

Annual revenue: $650bn (£428.5bn)

Annual profits: $53.4bn (£35bn) - around $1600 profit every second

Offshore cash fund: $53.4bn (£35bn) 

Sales: 90m iPhones (34,000 every hour), 40m iPads, 16m MACs and 5m iWatches

Employees: 304,000 current U.S. jobs — 70,000 employees around the world including 22,000 in Europe. It also has 257,000 jobs at 'other companies' that support its products. 

CEO Tim Cook posted a lengthy message on apple.com, warning about devastating ramifications for the sovereignty of European countries in light of the competition chief's hard line.

He said: In Ireland and in every country where we operate, Apple follows the law and we pay all the taxes we owe.'

Mr Cook accused Brussels of taking unprecedented action, with serious and wide-reaching complications.

He said: 'Beyond the obvious targeting of Apple, the most profound and harmful effect of this ruling will be on investment and job creation in Europe'.

'Using the Commission's theory, every company in Ireland and across Europe is suddenly at risk of being subjected to taxes under laws that never existed.

It is a completely made-up number. We really believe that the impact of this decision will be devastating for the European economy

Apple's chief financial officer Luca Maestri on the European Commission's key tax calculations

Context: Sales from iPads in a year could pay the 10-year tax bill demanded by the EU - but Apple is appealing today's ruling saying it does not dodge tax

Peter Vale, a Dublin-based corporate tax expert for accountancy firm Grant Thornton, calculates that Tuesday's judgment if upheld on appeal will cost Apple 19 billion euros ($21 billion) because the order includes interest for unpaid tax going back more than a decade.

Vale says the EU order will require the Irish tax collection agency to issue a demand soon for payment, and any money handed over by Apple would be placed in a hands-off escrow account pending years of litigation before the European Court of Justice in Luxembourg.

Vale says: 'While the tax to be collected is hugely significant, this is unlikely to be made available for public expenditure purposes pending the appeal result.'

Apple insists it is committed to Ireland, where employee numbers have grown from 60 in October 1980 and through the lean years of the early 1990s to almost 6,000 now.

Apple also dismissed the prospect of a six billion euro interest bill being piled on top of the unpaid tax.

The company went further in its defence, accusing the Commissioner of misunderstanding its corporate structure, describing the entire operation at its original home of Cupertino, California as its crown jewels and head office.

Brian Sewell, Apple's general counsel, slammed Commissioner Vestager's ruling on the 1991 tax advice as 'astounding, stunning and very troubling'.

Today's  huge penalty, imposed after a three-year investigation into the firm's tax affairs, is 40 times bigger than any tax demand issued by the European Commission.

Ireland will today be ordered to claw back billions in backdated tax - but extraordinarily the government will appeal the decision and reject the money.

The Commission's investigation concluded that Ireland granted illegal tax benefits to Apple, which enabled it to pay substantially less tax than other businesses over many years.

Ireland's Finance Minister Michael Noonan said he profoundly disagreed with the verdict and denied doing 'deals' with taxpayers.

'Our tax system is founded on the strict application of the law ... without exception,' he said.

He added that it was necessary to fight the verdict in the courts 'to defend the integrity of our tax system, to provide tax certainty to business, and to challenge the encroachment of EU state aid rules into the sovereign member state competence of taxation'.

'It is important that we send a strong message that Ireland remains an attractive and stable location of choice for long-term substantive investment,' he said.

APPLE CUTS IN EUROPE COULD BE DEVASTATING

More than 22,000 people in Europe are employed directly by Apple and around 1.4million more rely on them for money, the tech giant claims.

Parts for its phones, tablets, computers and watches are put together with the help of 4,700 suppliers based in 23 countries.

More than 6,500 people in Britain are employed directly by Apple - the highest number in the EU - followed by 5,500 each in Germany and Ireland.

In Europe there are more than 100 official Apple stores employing an average of 100 people each and there are 600 smaller Apple Premium Resellers across Europe that offer the complete range of Apple products.

Away from direct sales Apple also has more than one million registered app developers making money through the App Store.

Damning: Competition commissioner Margrethe Vestager unveiled a 130-page report into Apple's Irish tax affairs today and said it allowed Apple to pay as little as 0.005% tax

The case is one of the most high-profile in the fight to redraw boundaries on aggressive tax avoidance, an issue which has put the EU at odds with the US government.

Ms Vestager found two tax rulings issued by Ireland to Apple which she said substantially and artificially lowered the tax paid by the multinational.

She said the arrangements to establish the taxable profits for two Irish incorporated companies of the Apple group - Apple Sales International and Apple Operations Europe - did not reflect economic reality.

The commissioner said almost all sales profits recorded by the two companies were internally attributed to a 'head office' which only existed on paper and could not have generated such profits. Her inquiry found the profits were not subject to tax anywhere.

Ms Vestager's ruling also comes just a week before Apple's biggest product launch of the year, with the iPhone 7 and a new version of the Apple Watch to be unveiled in San Francisco.

Her office's investigations have also targeted aggressive tax planning by Starbucks and Fiat, both of which are appealing against rulings ordering them to pay back taxes to the Netherlands and Luxembourg.

Ms Vestager dismissed threatened court challenges from Apple and the Irish Government, saying she had a 'very concrete case'. 

The Commission said in a statement: 'Ireland must now recover the unpaid taxes in Ireland from Apple for the years 2003 to 2014 of up to 13 billion euros ($14.5 billion), plus interest.'

The EC said the tax bill could be reduced if other countries also pursued more tax from Apple themselves.

Apple has been probed for the way it channels profits made across Europe through a subsidiary company in Ireland. It is claimed the firm was able to pay 1 per cent tax on its European sales for two years, instead of the 12.5 per cent rate on profits that is typically used in Ireland.

The lower tax bills came following two tax assessments by authorities in Ireland.

This, the Commission has asserted, effectively allowed Apple to receive state aid because it was benefiting from a financial advantage other firms were not able to receive.

Fianna Fáil finance spokesman Michael McGrath said yesterday that his party would read the ruling before making a decision but he added that Apple will soon employ close to 6,000 people in Cork so the company was not 'a brass-plate operation where monies are coming into Ireland through some intricate funding system'.

He said: 'This is a real operation, but the question is have they been treated fairly and consistently with other companies in relation to Ireland's corporation tax. We have been reassured so far that they have, so that remains our position and we will read the report very carefully and the Government response.' But Sinn Féin said an appeal would be 'farcical'.

APPLE'S ROCK BOTTOM TAX BILL: HOW DOES IT DO IT?

Apple's tax bill is so low thanks to the movement of profits to subsidiaries in Ireland and a 'head office' within Apple Sales International which was not based in any country, had no employees or premises and only had occasional board meetings.

The European Commission probe revealed only a small percentage of Apple Sales International's profits were taxed in Ireland and the rest was not taxed anywhere.

The commissioner highlighted 2011, when Apple Sales International recorded profits of 22 billion US dollars.

Under the tax arrangement it had in Ireland, only about 50 million euro was considered taxable, leaving 15.95 billion euro of profits untaxed, the inquiry found.

That year, Apple Sales International paid less than 10 million euro of corporate tax in Ireland - an effective tax rate of about 0.05% despite the headline rate being 12.5%.

The Commission said that, in subsequent years, Apple Sales International's recorded profits continued to increase but the profits considered taxable in Ireland under the terms of the tax ruling did not.

The arrangement was terminated last year when Apple Sales International and Apple Operations Europe changed their structures, the inquiry found.

The companies hold the rights to use Apple's intellectual property to sell and manufacture its products outside North and South America and make yearly payments to Apple in the US for research and development.

The Commission found these expenses were deducted from the profits recorded by Apple Sales International and Apple Operations Europe in Ireland each year.

It also revealed that Apple set up its sales operations in Europe in such a way that customers were buying products from Apple Sales International in Ireland rather than from the shops that physically sold them. This way Apple recorded all sales and associated profits in Ireland.

Low bill: In 2011 Apple's international profits generated by iPhones, iPads and Macs was 22 billion US dollars, but under the tax arrangement it had in Ireland, only about 50 million euros was considered taxable

MEP Matt Carthy said: 'The majority of Irish citizens are looking on with disgust as Fine Gael and Fianna Fáil go to such great lengths to facilitate a multinational corporation to avoid paying its fair share of tax.

'Government and Fianna Fáil representatives have lined up in recent days to assure Apple and other multinationals that they will immediately challenge any ruling against the Appletax deal in the European Court of Justice.

'They refuse to even wait to read the content of the ruling before announcing such assurances.' In a similar ruling against the Netherlands, the commission previously required the coffee chain Starbucks to pay up to €30million in back taxes.

Eoghan Murphy, junior finance minister in Ireland, said: 'We don't believe we gave any state aid to Apple. It's in the national interest that we defend our international reputation in this regard.'

Investment bank JP Morgan has previously estimated the total cost for Apple could be as much as £15billion.

Barrister Jolyon Maugham QC of Devereux Chambers said: 'This decision jeopardises Ireland's business model as a country that attracts businesses to be based there on a basis of lower tax. This is an example of political activism by the commissioner. The commissioner is trying to make sure the single market function is maintained and member states do not win business at the cost of others' tax base.

'There is a technical point where tax incentives stop and state aid begins.'

Apple employs about 5,500 people in Ireland, and has argued that its tax bill reflects its operations of procurement, distribution and sales.

Ireland and Apple can now appeal these tax bills. Both have denied any wrongdoing.

The commission investigation relates to two rulings given to Apple in 1991 and 2007.

Who's next in the firing line? Google, Amazon and Starbucks are among the firms facing more scrutiny after the multi-billion pound Apple tax ruling

Apple is the latest major multinational to find itself in the cross-hairs of the EU commission.

And the massive £11billion tax bill levied on the tech giant could set the scene for a titanic battle.

The Commission's three-year investigation into Apple's sweetheart deal with Ireland found it amounted to illegal state aid.

Amazon is among the companies whose tax deals are being examined closely by the EU

A damning report revealed the firm paid as little as 0.005 per cent tax by funnelling its non-US profits through a 'so-called headquarters' in Ireland with no staff or premises.

The EU's giant tax bill will not be difficult for the company to pay because it has amassed a huge $178 billion (£120bn) offshore cash fund and last year made $53.4billion (£35billion) - the biggest profit in corporate history.

But Apple will appeal and the tech giant's CEO Tim Cook, who previously called the probe 'political c**p', is threatening EU job losses if they don't back down. The Irish government has also attacked the ruling as 'bizarre'.

The US Treasury has warned the EU not to pursue American companies over tax avoidance saying there is a 'disturbing' pattern of singling out US companies.

Google, Amazon, Facebook, Yahoo, Microsoft, Twitter and eBay also have corporate facilities in Ireland - where attractions include minimal regulation and low corporate tax rates - which could come under renewed scrutiny.

The EU commission has already ruled that a tax deal for Starbucks in the Netherlands was unlawful. The company has been fined around 30million euros, although again it is appealing.

Meanwhile, competition regulators are probing deals awarded by Luxembourg to both McDonald’s and Amazon.

German economy minister Sigmar Gabriel was today said to have suggested Google's tax structures should also be examined closely.

The EU commision is examining a tax deal granted to McDonald's by Luxembourg

Brexit Britain could become home to giant global firms which fear huge EU tax demands after Apple ruling

Post-Brexit Britain could benefit from a landmark EU ruling that has seen Apple slapped with a £11billion tax bill.

Experts believe that a British economy free from Brussels could be able to attract companies such as Apple with its own tax deals.

Today Apple has already threatened to cut EU jobs and investment after they were told their sweetheart deal with Ireland amounted to illegal state aid.

Theresa May's official spokesman has already said that the UK's 'Corporation Tax is one of the lowest in the world'.

Neil Wilson, markets analyst at ETX Capital, said: 'The European Commission seems to be treading very close to interfering with the tax rules of member states, effectively telling Ireland how much tax it ought to levy. It's also increasingly becoming a supra-national tax judge.

'Britain could benefit. If Ireland cannot offer sweetheart deals within the EU, the City of London can perhaps offer something more appealing outside the bloc.'

Asked whether the Prime Minister believed the Commission decision amounted to good news for the UK post-Brexit, as it would make EU states less able to use competitive tax policies to attract inward investment, a Downing Street spokesman said: 'In terms of offering a low-tax environment, the UK already does that.

'Our Corporation Tax is one of the lowest in the world. We are committed to making the trading condition for companies in Britain as positive for them as it can be as long as it's positive for the country as a whole.'

Appeal: Apple, which has its Irish headquarters in Cork, pictured, has denied that any illegal deal was made with Ireland over tax

1% tax on its European profits in 2003 and 0.005% in 2014. The Brussels watchdog found the arrangements dating back to the early 1990s were illegal under state aid rules and gave Apple favourable treatment over other businesses.

However, Apple boss Tim Cook said the Commission's decision would 'strike a devastating blow to the sovereignty of EU member states over their own tax matters'.

The company's chief financial officer, Luca Maestri, said the decision would be 'devastating' for the European economy.

The tax affairs of a string of other firms, including Amazon, Google and McDonald's, are also set to come under the EU microscope in the coming months.

Lewis Crofts, global chief correspondent at antitrust trade publication Mlex, added: 'A post-Brexit Britain could be able to attract companies such as Apple with tax deals like the Irish one, and the European Commission would have no say.

'But only in a 'hard-Brexit' scenario. A half-way solution - similar to Norway's or Switzerland's - could see the UK subject to Brussels oversight without being at the table when the rules or decision are agreed.'

Mr Cook said that Apple is 'committed to Ireland and we plan to continue investing there'.

APPLE'S £11BILLION TAX BILL IS THE BIGGEST IN EU HISTORY - AND MCDONALDS AND AMAZON COULD NOW BE NEXT

What sort of arrangement did Apple have with Irish authorities?

The EU Commission's investigation was launched in 2014 under the suspicion that Irish authorities were purposefully miscalculating and ultimately underestimating Apple's taxable profit on products like iPhone and iPads.

The multinational corporation is said to have secured a tax advantage not available to other companies, which ultimately amounted to state aid and breached EU antitrust law. Both Irish authorities and Apple have repeatedly denied breaching these rules.

Why does the EU's ruling on Apple matter?

The sheer size of the case is drawing attention. In October, the EU Commission ordered Starbucks and Fiat to pay 20 to 30 million euro for benefiting from so-called sweetheart tax deals in the Netherlands and Luxembourg.

That is compared with the latest ruling, which is calling on Ireland to recoup 13 billion euro (£11 billion) in unpaid taxes from Apple.

The case has also irked the US Treasury, which earlier this month published a paper accusing EU authorities of unfairly targeting US companies in antitrust probes.

Lewis Crofts, global chief correspondent at antitrust trade publication Mlex, explained that the US is worried that Apple's cash won't make it back to the US. 'They say 'it's our money, you have no right to take it'. That's the big fight.'

Will Apple pay?

Apple is expected to appeal against the ruling in European General Courts and take it to the Court of Justice if the first appeal fails.

While the ruling would ultimately benefit Irish government coffers, Mr Crofts says Ireland will also appeal against the EU Commission's decision.

The irony is that there will be domestic pressure to accept this money, but what Ireland knows is that, in this instance, the decision makes it much less attractive to invest in,' Mr Crofts said.

Which companies will be targeted next?

A case this size is unlikely to come up again, but there are other US companies in the firing line.

EU authorities are currently investigating Amazon and McDonald's for similar tax deals it deems illegal. Those rulings could be doled out in the next six to 12 months. 

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'The town isn't here anymore': At least 22 dead - including two children - and many more feared buried under rubble as 6.2-magnitude earthquake rocks central Italy in dead of night - with aftershocks felt 100 miles away

The 6.2-magnitude earthquake struck near Norcia in Umbria, central Italy, at around 3.30am local time

22 dead including eight-month-old baby, his brother, nine, and their parents, who were buried in their sleep

The hardest-hit towns were reported as Amatrice and Accumoli - some areas are completely cut off

Elderly couple from Pescara del Tronto have died - 100 people still missing in village of Arquata del Tronto.

Quake shook buildings in the capital Rome - around 100 miles away - and was felt across Italy and in Croatia

Mayor of Amatrice: 'The roads in and out of town are cut off. Half the town is gone - there are many dead'

 Umbrian region is packed with tourists - popular with Britons and also Italians escaping summer heat 

By MARTIN ROBINSON, UK CHIEF REPORTER and TED THORNHILL FOR BE INFORMED

PUBLISHED: 02:36 GMT, 24 August 2016 | UPDATED: 09:11 GMT, 24 August 2016

A powerful earthquake has rocked Italy overnight killing at least 22 people including two children and burying many more as they slept.

The 6.2-magnitude quake at around 3.30am local time was so powerful it rocked buildings in the centre of Rome more than 100 miles away and was felt across Italy.

Survivors have described 'apocalyptic' scenes in towns and villages near the city of Perugia - the capital of the tourist-packed Umbrian region, which is especially popular with British holidaymakers.

At least 22 are feared dead in the earthquake after people were crushed by falling buildings or suffocated by the rubble - rescuers have pulled out several from the ruins but can still hear voices from below.

Its epicentre was in Norcia in Umbria, about 105 miles north east of Rome, while the hardest-hit towns were reported as Amatrice, Accumoli and Pescara del Tronto. Falling bridges and landslides mean some areas are still cut off with emergency teams can only get there on foot.

The mayor of Accumoli, Stefano Petrucci, said this morning: 'My town isn't here anymore' as people were carried out of ruined buildings on stretchers and people desperately searched the debris for survivors or sobbed as they inspected their own ruined homes.

The first victims of the devastating quake were an elderly couple whose home collapsed in Pescara del Tronto, in the Marche region, around ten miles from the epicentre. A family of four, including a eight-month-old baby and his brother, nine, were also reported dead in the town of Accumoli.

Two brothers, aged four and seven, were pulled from the rubble nearby after hiding under a bed with their grandmother as the building fell down. Some 100 people were still unaccounted for in the village of Arquata del Tronto.

Survivor: A dust-covered man trapped in the rubble of his home as he slept is pulled from a hole by rescuers in Amatrice this morning

Agony: A man is pulled out of the rubble with a large gash in his head following the earthquake in Amatrice

Bloodied: An injured nun checks her mobile phone as she lies near a ladder and a blanket following an earthquake in Amatrice

Huddled: A shocked woman and man are seen wrapped in blankets in front of collapsed houses in Amatrice, central Italy

Aftermath: Residents of Amatrice in central Italy has been left in ruins overnight in an earthquake that shook areas up to 100 miles away, including Rome

Debris: This is an overhead view of Amatrice, whose historic centre has been wiped out by the powerful earthquake overnight

Trail of sdestruction: Rescuers and people walk along a road following an earthquake in Accumoli, where a family of four including two children died

Collapsed: An unconscious survivor on a makeshift stretcher is carried from the what remains of a collapsed building in Amatrice

Shocking: A survivor in Amatrice is helped to safety after a powerful earthquake has rocked Italy overnight killing at least 22 people and burying many more as they slept

Grief: An Italian sobs in the rubble outside his damaged home as people said villages and towns have been destroyed by the 6.2 magnitude earthquake

At least ten people have been killed after a 6.2-magnitude earthquake rocked central Italy (pictured, rescuers carry a man from the rubble in the town of Amatrice)

Helped to safety: A woman is carried down a ladder from her upstairs window, which has a gaping hole in the wall 

Support: A family huddle together under blankets along with their pet dalmatian as they recover from the shock

Damaged: The mayor of Amatrice (pictured) which has been hit by a landslide following the quake, wiping much of it out

Shocking: Rescuers and residents clear debris in search for victims in damaged homes after the strong earthquake

Swathed in blankets, a heavily wounded man gazes at his destroyed hometown of Amatrice which has been cut off from the world after its roads were buried in rubble

Strong tremors were felt in the capital Rome, more than 100 miles from the epicenter near the city of Perugia - the epicentre was between Norcia and Accumoli

The quake hit during the summer when the populations of the towns and villages in the area, normally low during the rest of the year, are swelled by holidaymakers.

One person has died and a family of four including two young children, aged 8 months and 9 years, are feared dead in their collapsed house in Accumoli, according to its mayor.

Stefano Petrucci said: 'Now that daylight has come, we see that the situation is even more dreadful than we feared, with buildings collapsed, people trapped under the rubble and no sound of life.

'We have a tragedy here. Four people are under the rubble, but they are not showing any sign of life. Two parents and two children.

'It is a disaster, we have no light, no telephones, the rescue services have not got here yet.' 

The quake also destroyed homes and buried people under rubble in the small town of Amatrice, where many more are feared dead.

'The roads in and out of town are cut off. Half the town is gone,' said the town's mayor Sergio Pirozzi. 

He added: 'There are people under the rubble... There's been a landslide and a bridge might collapse. The situation is dramatic, there are many dead. I cannot give a toll for now because rescue efforts are under way and it is very, very difficult'.

The centre of Amatrice was devastated, with entire palazzos razed to the ground. Rocks and metal tumbled on to the streets and dazed residents huddled in piazzas as aftershocks continued into the early hours.

'The whole ceiling fell but did not hit me,' marveled resident Maria Gianni. 'I just managed to put a pillow on my head and I wasn't hit luckily, just slightly injured my leg.'

Another resident said she had been woken by the shaking in time to witness the wall of her bedroom cracking open. She was able to escape into the street with her children.

As daylight dawned, residents, civil protection workers and even priests began digging out with shovels, bulldozers and their bare hands, trying to reach survivors. There was a sigh of relief as a woman was pulled out alive from one building, followed by a dog.

'We need chain saws, shears to cut iron bars, and jacks to remove beams: everything, we need everything,' civil protection worker Andrea Gentili told The Associated Press.

'I don't know what to say. We are living this immense tragedy,' said the Rev. Savino D'Amelio, an Amatrice parish priest. 'We are only hoping there will be the least number of victims possible and that we all have the courage to move on.'

In Amatrice, the ANSA news agency reported two bodies had been pulled from one building. The Rev. Fabio Gammarota told ANSA another three were killed in a separate collapse. 

Amatrice Mayor Pirozzi told state-run RAI radio and Sky TG24 that residents were buried under collapsed buildings, that the lights had gone out and that heavy equipment was needed to clear streets clogged with debris. 

Aleandro Petrucci, the mayor of nearby Arquata del Tronto, said Pescara was one of 'two or three hamlets that have just completely disintegrated.'

Missing: The side of a traditional beige building is collapsed into grey rubble in the town of Amatrice

Turned inside out: The purple decor of one family's home is seen amongst the grey rubble as people search for signs of life in Amatrice

Ruins: A lamppost is seen leaning dramatically to one side next to a devastated building and rescue workers 

Cry for help: This survivor looks into the rubble in Amatrice and was heard yelling to anyone who might be stuck inside

Reaction: A dust-covered man cries with his head in his hands as the shock of what has happened overnight sinks in

Decimated: An Italian clutches his child's buggy as he walks over the rubble and debris left 

Piled high: The tight streets of Amatrice have been blocked by the debris from falling buildings rocked by the quake

Desperate: This is all that is left of a building in Amatrice where emergency services and volunteers pull away tiles and rubble searching for victims

Busy: The area of Umbria is hugely popular with tourists, and some Britons have been caught up in today's chaos

Nothing left: This shop's sign is hanging off and its walls are collapsed after the quake shook the area at around 3.30am

A resident of the village told Rai that she had been woken by the shaking in time to witness the wall of her bedroom cracking open. She was able to escape into the street with her children.

Silvano Rendina, from Toronto, Canada, told BE INFORMED he was awoken and managed to escape through the window of his father's ancestral home in Pescara del Tronto when the earthquake struck. After helping numerous townsfolk escape the rubble and after daybreak, he took photos of the utterly devastated town.

Two bodies were recovered from rubble in Amatrice, a mountain village in neighbouring Lazio that was packed with visitors at the peak of the summer season.

Paola Mancini, 79, told local newspaper Corriere the first words she heard were ‘Run, run, everyone outside.’

She was in the hospital Grifoni, in Amatrice, when the earthquake started. A nurse screamed for everyone to get out into the street.

‘There were two of us in the emergency room. We got up and ran as quickly as possible. We were in the hall, where we found a doctor who calmed us as much as he could.

She was admitted into the hospital on Tuesday. This morning she was in the street along with the rest of the 14 inhabitants of the hospital.

‘It has been a long and terrible shock. We have been scared, and we remain paralysed by terror. There have been moments of panic, but the nurses have been very professional and they got us all out into the street quickly.’

Sergio Pirozzi, Amatrice's mayor, said access to the village had been blocked, making it impossible for emergency services to get through 'We can hear voices under the rubble.'

Photographer Emiliano Grillotti told the Ansa news agency that in Accumoli he saw over 15 people digging with their bare hands to save a family of four with two children, according to Repubblica.

He said: 'You hear the screams of the mother and one of the children.'

And the head of the local Red Cross described how a collapsed bridge was slowing the relief effort, because help can only arrive on foot.

Italian Red Cross spokesman Tommaso Della Longa told MailOnline: ‘The first priority in the first hours after the earthquake is mobilising the emergency services teams.

‘Now the teams are in the field and they are working to find survivors.

‘The logistics aren’t so easy because there aren’t so many big roads. It’s a lot of small roads and small towns and village and groups of small houses in the mountains.

‘It’s a challenge but we are trying to manage it.’

Ryan Sloan, a lawyer based in Glasgow, described the moment the earthquake woke him in Rome as the 'most terrifying moment' of his life.

He said: 'Woke up as felt like someone violently rocking bed.'

Sarah Conrad, who works for YouTube in London and is visiting the Italian capital, said she was woken up in the early hours and also felt aftershocks.

She tweeted: 'Pretty sure I was just woken up by an £earthquake in £rome.

'I thought someone snuck into my hotel room & was jumping on the bed. Both scary!'

Paul O' Halloran, whose Twitter profile said he was in Rome said: 'Just got woke up by an earthquake! Bed and window shutters moving!'

Toby Shaw, from Hampshire, tweeted: 'I'm really hoping that I've just experienced an earthquake in Rome, otherwise I'm not sure I want to know what it was that shook the room.' 

Emergency workers help an elderly, wounded man to safety in Amatrice, where many are believed to be trapped underneath the rubble

People are feared dead in the small, rustic town of Amatrice (pictured) - which lies near the epicenter of the quake

 Amatrice is famous in Italy as a beauty spot and is a popular holiday destination for Romans seeking cool mountain air at the height of the summer.

The first quake struck shortly after 3.30 am (0130 GMT), according to the United States Geological Survey, and a 5.4 magnitude aftershock followed an hour later.

USGS's PAGER system, which predicts the impact of earthquakes, issued a red alert - suggesting significant casualties and damage based on previous quake data.

A resident of the Rieti region, which is between Rome and the epicentre of the quake, told the Rainews24 channel that she and most of her neighbours had come out onto the street after feeling 'very strong shaking'.

In 2009 a 6.3-magnitude earthquake struck close to the city of Aquila in the Abruzzo region and left more than 300 people dead.

That disaster led to lengthy recriminations over lax building controls and the failure of authorities to warn residents that a quake could be imminent.

Italy is often shaken by earthquakes, usually centred on the mountainous spine of the boot-shaped country.

Another quake hit the northern Emilia Romagna region in May 2012, when two violent shocks 10 days apart left 23 people dead and 14,000 others homeless.

First images of the damage in Amatrice showed cars caked in rubble and the debris of collapsed buildings sprawled across the streets.

It was so strong... It seemed the bed was walking across the room by itself with us on it

Lina Mercantini of Umbria, central Italy 

Mayor Nicola Alemanno said no deaths have been reported deaths in Norcia, adding: 'The anti-seismic structures of the town have held.

'There is damage to the historic heritage and buildings, but we do not have any serious injuries.'

A resident of the Rieti region, which is between Rome and the epicentre of the quake, told the Rainews24 channel that she and most of her neighbours had come out onto the street after feeling 'very strong shaking'. 

A family of four were also reported dead in the town of Accumoli - just four miles from where the source of the quake (pictured, a rescue worker inspects the damage in Amatrice)

Together: A sports team rests on the ground under white blankets after the town of Amatrice was struck

 Strong shockwaves were felt as far as the capital Rome, more than 100 miles from where the 'shallow' quake first struck at around 3.30am local time.

There have already been 'reports of victims in the quake zone', according to Italian Fire Department spokesman Luca Cari.

The worst hit towns were believed to be Accumoli, Amatrice, Posta and Arquata del Tronto.

Prime Minister Matteo Renzi's office said rescue teams were being sent to the worst-hit areas.

'It was so strong... It seemed the bed was walking across the room by itself with us on it,' said Lina Mercantini of Umbria, central Italy.

Olga Urbani, in the nearby town of Scheggino, said: 'Dear God, it was awful. The walls creaked and all the books fell off the shelves.'  

The quake is believed to have damaged buildings across the central region while residents in Rome reported their houses 'swaying'.

Prime Minister Matteo Renzi's spokesman said on Twitter that the government was in touch with the country's civil protection agency.

The USGS initially reported the magnitude of the quake at 6.4, saying it was very shallow - only 6.2 miles (10 km) deep.

The last major earthquake to hit Italy struck the central city of L'Aquila in 2009, killing more than 300 people.

Strong shockwaves were felt as far as the capital Rome, more than 100 miles from where the 'shallow' quake first struck at around 3.30am local time.

There have already been 'reports of victims in the quake zone', according to Italian Fire Department spokesman Luca Cari.

The worst hit towns were believed to be Accumoli, Amatrice, Posta and Arquata del Tronto.

Prime Minister Matteo Renzi's office said rescue teams were being sent to the worst-hit areas.

'It was so strong... It seemed the bed was walking across the room by itself with us on it,' said Lina Mercantini of Umbria, central Italy.

Olga Urbani, in the nearby town of Scheggino, said: 'Dear God, it was awful. The walls creaked and all the books fell off the shelves.'  

The quake is believed to have damaged buildings across the central region while residents in Rome reported their houses 'swaying'.

Prime Minister Matteo Renzi's spokesman said on Twitter that the government was in touch with the country's civil protection agency.

The USGS initially reported the magnitude of the quake at 6.4, saying it was very shallow - only 6.2 miles (10 km) deep.

The last major earthquake to hit Italy struck the central city of L'Aquila in 2009, killing more than 300 people.

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Chris Rock finalises divorce from wife Malaak after 20 years of marriage

By ELLIE GENOWER FOR BE INFORMED

PUBLISHED: 10:18 GMT, 23 August 2016 | UPDATED: 10:43 GMT, 23 August 2016

Chris Rock has divorced wife Malaak after 20 years of marriage.

The couple both appeared in a New Jersey courtroom on Monday to finalise the split, reports BE INFORMED.

The 51-year-old comic actor and his wife - who have been separated since 2014 -have two daughters Lola Simone, 14 and  Zahra Savanna, 12.

Chris Rock, pictured with wife Malaak Compton-Rock back in 2014, have finalised their divorce after 20 years of marriage 

Chris and Malaak Compton-Rock also appear to have been raising eight-year-old Ntombi, who first came to live with them from South Africa when she was six months old, according to the website, although details are unclear.

In divorce papers, Malaak listed Ntombi-futhi Samantha as a dependent along with the Rocks’ two biological daughters.

She stated that in addition to their two children, there is a child 'who has resided with the parties since before her first birthday.'

But rather mysteriously, a spokesman for Chris told BE INFORMED he does not have an adopted child. 

BE INFORMED previously reported that back in 2008, the family took in Ntombi who remained in their house and was subsequently enrolled in a local school.

The site added that the girl's parents were thought to be unemployed and from South Africa, although it is not known why she was living with the Rock family.

They add that when Chris, 50, and Malaak began divorce proceedings, Chris maintained contact with his two biological daughters.

New love: Chris brought girlfriend Megalyn Echikunwoke to the Governor's Ball at the 88th Academy Awards back in February 

However their divorce case is sealed so it is not known what settlement was reached.

Meanwhile, Chris began dating 33-year-old actress Megalyn Echikunwoke earlier this year.

Megalyn, who has had recurring roles in 24, ER, CSI Miami, The 4400, 90210 and Damien, was most recently featured as the animal-powered Vixen in the TV series Arrow. 

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What type of lover are YOU? Take our quiz to find out whether you're driven by lust, comfort or intimacy in bed

The more you know about your sexual psyche, the better sex will be

Take expert Tracey Cox's quiz to find out what kind of lover you are

Answers will help you understand how sex affects you and motivates you 

By TRACEY COX FOR BE INFORMED

PUBLISHED: 06:49 GMT, 17 August 2016 | UPDATED: 10:21 GMT, 17 August 2016

The more you know about your sexual psyche, the better your sex life is likely to be - especially if you're female.

This quiz helps you to understand your prime motivations for sex and how it affects you emotionally as well as physically.

Find out the sort of lover you are by choosing the answer that most accurately describes you:

This quiz will help you to understand your prime motivations for sex and how it affects you emotionally as well as physically

1. When I was young I had fantasies about what sex would be like. It's turned out to be:

a Better or as good as I'd imagined.

b Pretty much what I thought, though I fantasised more about love and the relationship than I did sex.

c It's what I assumed it would be: mostly good but it's not the be all and end all of life

2. If my partner found out what my deepest, darkest fantasies are, he'd be:

a Turned on but not shocked. I enjoy fantasising but don't really fantasise about anything particularly out there.

b I don't really fantasise though I have talked dirty in bed to please my partner.

c Turned on but not surprised. We often role-play and talk dirty so he knows most of them anyway.

Tracey Cox says that this quiz will help you to determine the sort of lover you are, which is important to working out what your sexual pysche is like

3 Losing my virginity was:

a The predictable fumble. Clumsy but it still left me keen to explore.

b Anxious. I didn't really know what to expect and was relieved when it was over.

c A big deal. It was with a long-term boyfriend and we spent a lot of time planning it so it would be special.

4 My parent's attitude to sex was:

a It wasn't really mentioned but there was nothing particularly negative said.

b It's something enjoyable that you do with someone you loved when you're grown up.

c You saved it for when you were married or at least engaged.

Would your partner be shocked if he found out what your fantasies are, or do you already talk to them? Your answer will show what kind of lover you are

5 If I had to guess, I'd describe my parent's sex life as:

a Active. They're very affectionate with each other so I'm assuming this carries through into the bedroom.

b They'd joke about Sat night being 'date night' so I'm guessing they had it weekly.

c Active. I'd guess they have sex regularly - maybe even naughty sex!

6 If I feel like sex, I'm most likely to:

a Instigate it by making a move. I have no problems letting him know when and how I want sex.

b Start kissing him and cuddle up, in the hope that he'll get the hint.

c One of us prefers initiating and the other is happy with that arrangement.

7 Masturbating is something I do:

a If my partner is away or we're separated for a while.

b Not often if I'm in a relationship.

c Regularly, whether I'm with or without a partner. Sometimes I'll do it in front of him.

8. The average number of partners for women, globally, for a lifetime is nine. How does this make you feel?

a Like laughing. I clocked up that many by the time I was in my early 20s.

b I'm under average and hoping this partner will be my last.

c I stay with my partners a long time so don't expect I'll come anywhere near it.

Your ability to orgasm and how much sex you like to have every week will give you an indication of the type of partner you would be best suited to

9. Once I'm settled into the relationship, my idea of the perfect amount of sex sessions per week is:

a Once a week.

b Two to three times.

c Four to five times.

10 I'm able to orgasm:

a Easily both on my own and with my partner.

b Solo and with my partner but only through a certain tried and tested technique.

c Easily on your own but find it hard with a partner.

11. When I undress in front of my partner I:

a Get changed in the bathroom into PJ's. I'm happier dressed than naked.

b Tease him a little. I'm confident of my body.

c Feel quite comfortable. He accepts me flaws and all.

Our initial sex experiences are formative and shape the sort of sex we have in the future. If yours were good, it sets you up for a lifetime of uninhibited sex and bestowing a glorious lack of sexual guilt

12. If I don't orgasm with my partner, I would:

a Normally confess. But if he was doing everything right and it was just an off day, sometimes I'll lie.

b Confess. I don't feel the need to lie and don't see the point.

c Confess but it doesn't often happen because we have a tried-and-true technique that we always use.

Beware of always needing 'perfect' conditions to have sex in. Relationships aren't always going to be perfect, so sex isn't either

SCORING:

Count up how many of each letter you score to find your corresponding type. If your scores fall between two types, it's possible you share characteristics of each.

a. L b. I c. C

a. I b. C c. L

a. L b. C c. I

a. C b. L c. I

a. I b.C c. L

a. L b. I c. C

a. I b. C. c. L

a. L b. I c. C

a. C b. I c. L

a. L b. C c. I

a. C b. L c. I

a. I b. L c. C

YOUR SEX PROFILE:

Mostly 'L' answers:

LUST AND ADVENTURE

Our initial sex experiences are formative and shape the sort of sex we have in the future. Yours were good, setting you up for a lifetime of uninhibited sex and bestowing a glorious lack of sexual guilt.

Actively needing and seeking adventure and novelty, you've got a high sex drive and are highly motivated to satisfy it.

Your ideal partner also has a high sex drive but you could match happily with someone who has an average or even low libido because your desire for sex is so high, you'll put the effort in to capture their interest and constantly come up with new things to keep it interesting.

What will cause problems is a partner who isn't grateful or interested in making sex a priority.

You also need to accept that even the best relationships have highs and lows. It doesn't mean you're not in lust anymore if you're not ripping each other's clothes off every night.

Mostly 'I's:

INTIMACY AND CONNECTION

For you, sex is more about expressing love and feelings than it is a physical release. You're less interested in sexual performance and more focused on the emotional benefits of sex: intimacy rather than orgasm is your aim.

You're a forgiving lover and so long as you feel your partner loves you, will tolerate most sex drives. You're realistic about sex so reasonably easy to please in a physical sense.

The whole point of having sex, for you, is to feel closer and connected to your partner. If that's missing, you won't enjoy it.

Areas to watch out for: you're more inclined to cuddle up than initiate sex, so you should probably try to take the lead a little more often.

Also beware of always needing 'perfect' conditions to have sex in. Relationships aren't always going to be perfect, so sex isn't either.

Mostly 'C's

COMFORT AND FAMILIARITY

You're a person who likes routine both in and out of the bedroom. You dislike change and find it quite stressful so impromptu sexual surprises aren't welcome - predictable sex that follows a tried-and-true set pattern is your idea of sexual nirvana.

Others might look in and find your sex life a little dull but, in fact, you orgasm easily with your partner.

Because you stick to the same method, the path to orgasm is well-travelled and if you train your body to orgasm a certain way, it reads the signposts easily, identifying predictable triggers to tip you over the edge.

Your ideal match sexually is someone like you - more interested in good, regular, satisfying sex than trying new things that might possibly backfire.

Just remember: a certain amount of predictability can be comforting, too much desensitises. Try to push at least a little out of your comfort zone to build your sexual confidence.

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