Apple and Ireland challenge European Commission over €13bn tax ruling

 
William Turvill
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Apple's European headquarters are in Ireland (Source: Getty)

The battle between the European Commission and Apple and Ireland reignited today.

Apple and Ireland both filed appeals against a ruling by the EU regulator saying the tech firm should pay the country €13bn (£11bn) in back taxes.

The iPhone maker, which has its European headquarters in Ireland, where the standard rate of corporation tax is 12.5 per cent, filed a legal challenge to fight the EU regulator’s demands on Sunday night.

And Ireland’s department of finance lodged an application with the general court of the European Union to annul the decision.

Read more: Ireland "profoundly disagrees" with the EU's Apple ruling

The European Commission, meanwhile, today published a 130-page document in support of the €13bn ruling.

The EU regulator said Apple had received “selective treatment” from Ireland.

The Irish finance department said in a statement:

Ireland did not give favourable tax treatment to Apple – the full amount of tax was paid in this case and no state aid was provided. Ireland does not do deals with taxpayers.

The tech firm filed an appeal overnight and has today issued a statement accusing the European Commission of singling out Apple.

“It’s been clear since the start of this case there was a pre-determined outcome,” Apple said in a statement.

Read more: This major Apple supplier has US investment plans hot on SoftBank's heels

“The commission took unilateral action and retroactively changed the rules, disregarding decades of Irish tax law, US tax law, as well as global consensus on tax policy, that everyone has relied on.

“If their opinion is allowed to stand, Apple would pay 40 per cent of all the corporate income tax collected in Ireland, which is unprecedented and, far from leveling the playing field, selectively targets Apple.

“This has no basis in fact or law and we're confident the ruling will be overturned.”

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