Ireland to Formally Appeal $14 Billion Apple Tax Ruling This Week
Ireland's government will this week formally submit an appeal against the European Commission's ruling that it must collect 13 billion euros in unpaid back taxes from Apple, according to Ireland's finance minister Michael Noonan.
"The government fundamentally disagrees with the European Commission's analysis and the decision left no choice but to take an appeal to the European Courts and this will be submitted tomorrow," Noonan told a European Parliament committee in Brussels on Tuesday.
Ireland agreed in September to join Apple in its fight against the European Commission, which in August said the iPhone maker received illegal state aid from the country. The ruling followed a three-year inquiry that found Apple paid between only 0.005% and 1% in taxes in Ireland between 2003 and 2014, compared to the country's headline 12.5% corporate tax rate.
Ireland is looking to protect its tax regime that has benefited several multinational corporations, according to Reuters.
Apple previously said it is "confident" the ruling "will be overturned" by European courts, but noted the process is "likely to take several years." Apple said it has "provisioned several billion dollars for the U.S. for payment," but it does not expect any near-term impact on its financial results.
Apple insists it is "the largest taxpayer in the world" and "follows the law and pays all of the taxes" it owes in each country it operates. Apple CEO Tim Cook has described the tax accusations as "total political crap," and said the lower-end 0.005% tax rate calculated by the European Commission is a "false number."
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