After facing a U.K. parliamentary inquiry about its tax practices in its offshore sites, Google and the U.K.'s tax authority have agreed that the search engine giant would be paying about $185 million in back taxes, all the way back from 2005, according to The Guardian.

Google, which is now part of Alphabet Inc., has faced intense pressure over the past few years due to its tax practices, which involved channeling most of its profits through Ireland and Bermuda, countries that require very little tax from the search giant's operations.

"The way multinational companies are taxed has been debated for many years and the international tax system is changing as a result. This settlement reflects that shift," a spokesman from Google said, reported Mashable.

A spokeswoman from the finance ministry is optimistic about the deal, stating that its agreement with Google is a pivotal step forward.

"This is the first important victory in the campaign the government has led to ensure companies pay their fair share of tax on profits made in the U.K. and is a success for our new tax laws," she said.

A number of Labor officials, however, scoffed at the amount that Google has agreed to pay. With earnings of billions of dollars annually, the $185 million tax that the search giant agreed to seems but a marginal amount to them, according to Business Insider.

"This is a lousy number and we need to know more," tax expert and Labor leader Richard Murphy said.

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