Following the European Commission's ruling that Apple must pay 13 billion euros ($14.5 billion) in back taxes because of its "undue tax benefits" in Ireland, The Wall Street Journal reported over the weekend that Apple is facing the EC "without the army of lobbyists and public relations campaigners typical in such fights."

The company's lack of a lobbying presence in Europe isn't new, however, as it spent less than €900,000 lobbying European institutions in 2015. According to public filings, in total Apple "doesn't employ any full-time lobbyists" in Brussels, and only five people work part-time. In contrast, Google spent "at least" €4.25 million in 2015, and employs more than ten people in lobbying positions in the European capital.

brussels_hero

Apple's retail location in Brussels

Sources familiar with the matter stated that Apple's "lack of a presence in the EU capital" led to it being unsuccessful in gathering information over the past few years about the impending tax evasion ruling from the European Commission. Still, a source close to the commission's competition office theorized that a heavier lobbying presence might not have been all that helpful for Apple in the end, since the lobbying tactics of a company like Google have not gotten it out of "many antitrust investigations" over the past few years.

Google’s experience with the commission’s many antitrust investigations over the years may suggest a bigger Apple lobbying presence in Brussels wouldn’t have had a meaningful impact on the regulator’s decision.

People familiar with the directorate say there is limited leeway for influencing the outcome of any competition investigation. The regulator can’t stray too far from previous case law in its decisions to ensure the ruling is upheld in court when the companies inevitably appeal it.

Still, “I don’t know what [Apple] would have done differently,” said a person close to the commission’s competition office. “It’s not a question of behavior; it’s a question of what’s in the numbers and what’s on the table.”

Many other America-based companies have a large presence in Europe, including Alphabet and Amazon, "which have built a European lobbying presence to try to sway investigations and potential legislation." The two companies have also tried to advertise the benefits that Europe gains from their presence, with Google launching a digital journalism initiative and Amazon highlighting its storefronts that facilitate the livelihood of small European businesses.

On the Apple side of things, Tim Cook has called the EC's ruling "total political crap" and described the lower end 0.005% tax rate as a "false number." Ultimately, the Apple CEO believes that the decision will be reversed, and most recently Ireland's coalition government agreed to appeal the ruling. Cook has stated that he has "faith in humanity" and "faith in what is just and right will occur."

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Top Rated Comments

iLondoner Avatar
112 months ago
I have a large investment in Apple shares so I'm clearly disappointed with any news that adversely affects Apple.

However as a European I am dismayed at the way that Luxembourg, Netherlands and Ireland have cheated their fellow EU members by offering low tax regimes. These have encouraged US companies such as Apple, HP, Dell, Starbucks, eBay, Amazon, Google (and the list goes on and on) to dishonestly book their sales not in the country where they were made, but in the low-tax haven.

The UK has lost billions in lost tax over the last decade or more.

A sign in a local independent bookstore proudly states that it has paid more tax in the UK than the whole of Amazon.
Score: 12 Votes (Like | Disagree)
captain kaos Avatar
112 months ago
Come over to the UK, we're getting out of this EU mess.
Score: 7 Votes (Like | Disagree)
Zarniwoop Avatar
112 months ago
Why is Ireland (and Apple) being punished for such an arrangement?
Because it is clearly stated in the EU common rules, and Ireland has agreed to follow them. Rules that state for example that giving any enterprise a special tax regime is illegal state aid. Ireland is abusing the system and driving profits from other states. You cannot join to 500 million people common market without rules.
Score: 6 Votes (Like | Disagree)
rp2011 Avatar
112 months ago
Lobbying? Just pay your taxes!

I love Apple but their shady tax dealings are shady tax dealings.

Exxon previously the most profitable company world wide has incredibly shady tax dealings and even gets subsidies from the US via lobbyists.
Legal?
Yeah!
Because of lobbyists?
Yeah!
Shady corrupt politicians?
Hell yeah!!

Does that make it right?
**** no!
Score: 5 Votes (Like | Disagree)
Stella Avatar
112 months ago
I would like to avoid using them all. The government enforced monopoly makes that difficult. People should pay for things that they use. Not have their money stolen and reappropriated by a government who thinks they know how to spend money better. They don't.
[doublepost=1474923602][/doublepost]

Private markets.
^

I'd hate to live in your world.. if you can't afford it, you don't get educated, die prematurely etc, where absolutely everything is about profits.

Fortunately.. there's "society" where we all contribute - to schools, healthcare, infrastructure and the rest for the benefits of everyone.
Score: 5 Votes (Like | Disagree)
macfacts Avatar
112 months ago
I don't see how what happened in Ireland is any different from what legally happens all the time in the US. For instance, I live in a town that wanted to bring in a Target distribution facility. Target is worth billions, but in order to get them to choose our town, the Mayor and City Council offered Target a 20-year tax abatement. So a corporation with billions to spend wouldn't have to pay any taxes to the town for the first decade, and then pay minimal taxes for the next ten years. Meanwhile, property taxes for residents continued to increase. (Target eventually decided not to build there.) This seems to be a common practice with big businesses. In order to attract them, cities hold a carrot in the form of lower taxes. Why is Ireland (and Apple) being punished for such an arrangement?
1. When you steal something and have to return it, that is not punishment. Apple or Ireland has not been fined yet. Having to pay taxes owed is not punishment.

2. What is legal in the States might not be legal in the EU.
Score: 5 Votes (Like | Disagree)

Popular Stories

AirPods Pro 3 Mock Feature

AirPods Pro 3 Just Months Away – Here's What We Know

Friday April 18, 2025 5:16 am PDT by
Despite being more than two years old, Apple's AirPods Pro 2 still dominate the premium wireless‑earbud space, thanks to a potent mix of top‑tier audio, class‑leading noise cancellation, and Apple's habit of delivering major new features through software updates. With AirPods Pro 3 widely expected to arrive in 2025, prospective buyers now face a familiar dilemma: snap up the proven...
CarPlay Hero

Apple Releases Wireless CarPlay Fix

Wednesday April 16, 2025 11:28 am PDT by
If you have been experiencing issues with wireless CarPlay in your vehicle lately, it was likely due to a software bug that has now been fixed. Apple released iOS 18.4.1 today, and the update's release notes say it "addresses a rare issue that prevents wireless CarPlay connection in certain vehicles." If wireless CarPlay was acting up for you, updating your iPhone to iOS 18.4.1 should...
iphone 16 pro models 1

17 Reasons to Wait for the iPhone 17

Thursday April 17, 2025 4:12 am PDT by
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models simultaneously, which is why we often get rumored features months ahead of launch. The iPhone 17 series is no different, and we already have a good idea of what to expect from Apple's 2025 smartphone lineup. If you skipped the iPhone...
Beyond iPhone 13 Better Triad

Apple's 20th Anniversary iPhone May Finally Go All Screen

Tuesday April 15, 2025 6:31 am PDT by
Apple is preparing a "bold" new iPhone Pro model for the iPhone's 20th anniversary in 2027, according to Bloomberg's Mark Gurman. As part of what's being described as a "major shake-up," Apple is said to be developing a design that makes more extensive use of glass – and this could point directly to the display itself. Here's the case for Apple releasing a truly all-screen iPhone with no...
maxresdefault

iPhone 17 Pro Launching Later This Year With These 12 New Features

Sunday April 13, 2025 7:52 am PDT by
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch until September, there are already plenty of rumors about the devices. Subscribe to the MacRumors YouTube channel for more videos. Below, we recap key changes rumored for the iPhone 17 Pro models as of April 2025: Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and ...
iOS 19 Roundup Feature

iOS 19 Will Add These New Features to Your iPhone

Tuesday April 15, 2025 7:37 am PDT by
The first iOS 19 beta is less than two months away, and there are already a handful of new features that are expected with the update. Apple should release the first iOS 19 beta to developers immediately following the WWDC 2025 keynote, which is scheduled for Monday, June 9. Following beta testing, the update should be released to the general public in September. Below, we recap the key...
top stories 2025 04 19

Top Stories: iPhone 17 Pro Rumors, CarPlay Bug Fix, and More

Saturday April 19, 2025 6:00 am PDT by
This week saw rumor updates on the iPhone 17 Pro and next-generation Vision Pro, while a minor iOS 18.4.1 update delivered not just security fixes but also a fix for some CarPlay issues. We also looked ahead at what else is in Apple's pipeline for the rest of 2025 and even the 20th-anniversary iPhone coming in 2027, so read on below for all the details on these stories and more! iPhone 17 ...
tvOS 18 Thumb 1

Apple Releases tvOS 18.4.1

Wednesday April 16, 2025 10:04 am PDT by
Apple today released tvOS 18.4.1, a minor update to the tvOS 18 operating system that came out last September. tvOS 18.4.1 comes two weeks after Apple released tvOS 18.4, and it is available for the Apple TV 4K and Apple TV HD models. tvOS 18.4.1 can be downloaded using the Settings app on the ‌Apple TV‌. Open up Settings and go to System > Software Update to get the new software....
Apple TV Plus Feature 2 Magenta and Blue

Apple TV+ Available at Significantly Lower Price Until Next Week

Friday April 18, 2025 11:42 am PDT by
Apple TV+ is currently available at a much lower price than usual, but time is running out if you want to take advantage of the offer. In the U.S., new and qualified returning customers can subscribe to Apple TV+ for just $2.99 per month, for three months. Afterwards, regular pricing of $9.99 per month applies. The offer is available in the Apple TV app, and at tv.apple.com, through April...