The EU's Apple tax break investigation could lead to billions of euros in fines

[Justin Kahn]

Back in June of this year, the European Commission began an investigation into the infamous tax arrangement Apple has with the Irish government. The findings from that investigation are apparently ready for prime time, and could be released as early as today. The Commission suspects the deal between Apple and the Irish government could fall into the area of illegal state-aid.

As you likely imagined, Apple has yet to speak up on the matter but has previously gone under Senate sub-committee questioning regarding the tax deal. The Irish government, on the other hand, has spoken. It remains firm in its position, stating its confident the Apple deal in no way goes against state-aid tax rules. In fact, the Irish claim to have already formally responded to the Commission hoping to address the issues at hand.

Ireland has always headquartered Apple’s international operation, likely due to extreme tax breaks the company receives.  Apple pays less than 2% tax in Ireland, according to reports, which obviously doesn’t sit with the Commission very well.

While Apple has always denied the allegations put against it, the company could have more than 20 years worth of unlawful tax breaks to deal with. According to reports, if Apple is proven to have received special treatment, it could result in billions of euros in fines. 

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https://www.techspot.com/news/58233-the-eus-apple-tax-break-investigation-could-lead-to-billions-of-euros-in-fines.html

 

[Lionvibez]

Whats a few billion in fines they can afford it.

What it will do to the stock price after tho.......

 

[Guest]

Another nail in Apple's coffin.

I hope they fine them, then Google, eBay, then everyone else who refuses to pay the taxes due in each country they trade in.

As a previous poster noted a while ago, if an Apple store gets held-up etc, they call the local police. Who pays for the local police? LOCAL TAXES!

 

[davislane1]

The best part of these tax articles is always the comment section.

 

[Guest]

But alas the vicious cycle, they didn't pay their taxes, so they have billions to bribe someone with, or be bribed by a lawyer to find a lovely little loophole

 

[Guest]

The Irish government is known for their dodgy practises yet all blame is layed on apple.
How about the EU doing something about the irish government taxing it's citizens twice on cars (which is technically illegal) and getting away with this second tax by calling it a "car registration fee"? We are fed up to the back teeth of paying close to 30% more for our cars due to the EU turning a blind eye to the corrupt irish government.

 

[Guest]

It is the multi-national banks that too should be in the spotlight in facilitating account opening & structured liquidity arrangements in these low tax jurisdictions. The Banks also leverage the same windfalls as the Apples & Googles, by having incorporated businesses typically in Ireland and tax havens.