Amazon wins court fight against $303 mln EU tax order, Engie loses

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Amazon (AMZN.O) on Wednesday won its fight against an EU order to pay about 250 million euros ($303 million) in back taxes to Luxembourg as Europe's second highest court dealt a blow to the bloc's crackdown against unfair tax deals for multinationals.

Signage is seen at an Amazon facility in Bethpage on Long Island in New York, U.S., March 17, 2020. REUTERS/Andrew Kellyon Wednesday won its fight against an EU order to pay about 250 million euros in back taxes to Luxembourg as Europe's second highest court dealt a blow to the bloc's crackdown against unfair tax deals for multinationals.however lost its appeal against an EU order to pay back taxes of 120 million euros to Luxembourg.

The Luxembourg-based General Court said Amazon had not enjoyed a selective advantage in its tax deal with Luxembourg. "The Commission did not prove to the requisite legal standard that there was an undue reduction of the tax burden of a European subsidiary of the Amazon group," the judge said. The Amazon ruling is a setback for European Competition Commissioner Margrethe Vestager, who has aggressively used the bloc's state aid rules to tackle sweetheart tax deals between multinationals and EU countries.

Vestager has a mixed record so far. The biggest setback was last year when the General Court threw out her order to iPhone maker AppleThe same court in 2019 rejected her order to Starbucks

 

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