Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

Apple, EU Set for September Showdown Over Record Tax Bill

Published 08/16/2019, 05:47 PM
Updated 08/16/2019, 06:04 PM
© Reuters.  Apple, EU Set for September Showdown Over Record Tax Bill
AAPL
-
SBUX
-

(Bloomberg) --Apple Inc.’s (NASDAQ:AAPL) 13 billion-euro ($14.4 billion) battle with the European Union reaches the bloc’s courts next month in a hearing set to throw the spotlight on antitrust commissioner Margrethe Vestager’s crackdown on tax deals doled out to big companies.

The EU’s General Court, its second-highest tribunal, will hear arguments in the challenges by the iPhone maker and Ireland over two days set for Sept. 17-18. The U.S. last year lost a bid to intervene in the case in support of Apple.

The European Commission in August 2016 ordered Ireland to recoup the record sum plus interest, saying the world’s richest company was handed an unfair advantage. The EU decision reverberated across the Atlantic, triggering criticism from the U.S. Treasury that the EU was making itself a "supra-national tax authority" that could threaten global tax reform efforts.

The Irish government said in an email it “profoundly disagrees” with the EU’s decision and “is engaging fully with the process and ensuring the best presentation of the state’s position.” The commission in Brussels declined to comment.

Apple didn’t immediately respond to requests for comment.

Appeals over tax cases have been piling up at the EU’s courts since 2015, when the commission issued its first orders against Luxembourg and the Netherlands to recoup unpaid taxes from a Fiat Chrysler Automobiles NV unit and Starbucks Corp (NASDAQ:SBUX). respectively.

The court heard arguments in both cases last year with rulings yet to come. A first ruling in the series of decisions by EU antitrust chief Vestager ended in a setback in February for the EU when Belgium won a bid to overturn an order to recoup about 800 million euros from 35 companies, including Anheuser-Busch InBev NV.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.