Apple embarks on EU court battle over 13B-euro tax bill

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The EU accuses Apple of parking untaxed revenue earned in Europe, Africa, the Middle East and India, in Ireland.

This privilege allegedly gave Apple an advantage over other companies, allowing it to avoid taxes between 2003 and 2014 of around 13 billion euros which, according to Brussels, constituted illegal"state aid" by Ireland.

"The European Commission has tried to rewrite Apple's history in Europe, to ignore Ireland's tax laws and, in doing so, to disrupt the international tax system," Tim Cook said in an open letter in 2016. This became possible after a major tax overhaul in the US at the end of 2017 that allowed Apple to repatriate profits made abroad. Apple has promised to pay Washington a tax bill of $37 billion, in addition to the taxes already paid in the United States.The California-based giant is supported in its fight by Ireland which has also appealed, refusing to be singled out as a tax haven.

Pending the conclusion of the case, Apple has blocked the funds in an escrow account: a total of 14.3 billion euros, after interest.

 

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