EU to rule on Apple tax avoidance by Christmas
Ireland is expecting European Union regulators to issue a decision on the country’s tax deal with Apple before the end of the year.
The Irish finance minister said the move could force the iPhone maker to pay substantial back taxes.
The European Commission has already ordered Dutch authorities to recover $32.23 million from US coffee chain Starbucks and Luxembourg to do the same with Fiat Chrysler for its tax deals.
Rulings on Apple and Amazon’s tax arrangement with Luxembourg authorities are still pending.
Irish Finance Minister Michael Noonan said the Commission is likely to announce its decision by the end of the year.
“We are expecting an adjudication on Apple maybe in the next few weeks but certainly between now and Christmas. It remains to be seen whether that is adverse or negative but (we) will deal with that when the announcement comes.”
Apple said in April the EU investigation could have a material impact on its bottom line as it has been funnelling a large amount of its profits through the lower tax rated Irish government.
If it is forced to pay back all the tax it has avoided for the last few years a few peaks of its EU cash mountain will have to be paid back.
