#AppleTaxCase #EUTechRegulations #DigitalMarketsAct
Apple Loses EU Court Battle Over $13 Billion Euro Tax Bill in Ireland
On September 10, 2024, the European Court of Justice ruled against Apple in its decade-long legal struggle over tax affairs in Ireland. This decision marks a significant milestone in the ongoing tension between U.S. tech firms and the EU, which has been addressing various issues including data privacy, taxation, and competition law.
The case began in 2014 when the European Commission initiated an inquiry into Apple's tax contributions in Ireland, where the tech giant's EU headquarters is located. By 2016, the Commission ordered the Irish government to recover up to $13 billion in unpaid taxes from Apple, claiming that the company had received "unlawful" tax advantages from Ireland over the previous two decades.
Apple and the Irish government contested the Commission's ruling in 2019. Subsequently, in 2020, the EU General Court ruled in favor of Apple, overturning the Commission's 2016 decision and stating that the Commission failed to demonstrate that the Irish government had granted Apple a tax benefit. The Commission then appealed this ruling to the European Court of Justice, escalating the legal battle.
This incident is not the first time Apple has faced scrutiny from the EU. Most recently, in March, the Commission imposed an antitrust penalty of $1.8 billion on Apple for exploiting its dominant market position in the distribution of music streaming applications. The EU's comprehensive Digital Markets Act has compelled companies to modify certain practices within Europe. The Commission has launched several investigations under the DMA targeting major tech firms such as Apple, Alphabet, and Meta.
Original Article: https://www.cnbc.com/2024/09/10/apple-loses-eu-court-battle-over-13-billion-euro-tax-bill-in-ireland.html
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