Apple Won’t Have to Pay Enormous $15 Billion Irish Tax Bill After EU Court Victory
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Apple has gotten off the hook for a €13 billion ($14.9 billion) tax bill in Ireland after the tech giant won an appeal at a top European court. Ireland—which has one of the lowest corporate tax rates in the European Union—is Apple’s HQ for Europe, the Middle East, and Africa. Back in 2016, the European Commission—the executive branch of the EU—ruled that Apple should pay billions in back taxes to Ireland after the Irish government allegedly allowed Apple to attribute nearly all of its European earnings to an Irish office that only existed on paper. But, on Wednesday, the EU’s General Court said it had overturned that decision because the commission failed to prove that Apple had broken competition rules, BBC News reports. “This case was not about how much tax we pay, but where we are required to pay it,” Apple said following the ruling. “We’re proud to be the largest taxpayer in the world as we know the important role tax payments play in society.” The Irish government had argued that Apple shouldn’t have to pay the taxes, saying that the losses were worth it help attract big businesses to the country.