Critical decision expected for record Apple sanction
The appeal hearing of the court decision, which canceled the tax debt of the Commission of the European Union (EU) with Apple for more than 13 billion euros, began at the Court of Justice of the European Union.
The Court of Justice of the European Union, the EU’s highest court, based in Luxembourg, is today hearing the Commission’s appeal in the legal battle between the EU and Apple.
The EU Commission alleges that legal errors were made in the lower court decision that canceled Apple’s tax debt of more than 13 billion euros.
As a result of the legal battle, it will be clear whether Apple is required to pay €13 billion in taxes to Ireland.
AB-APPLE CASE PROCESS
In 2016, the EU Commission completed its 3-year investigation into Irish-based corporate taxation of US-based Apple’s European activities.
Deciding that the tax practices the company used in Ireland went against EU rules, the EU Commission decided to collect €13 billion and interest from Apple for the period 2003-2014.
Apple accused the EU of acting unilaterally and changing the tax rules in Ireland retrospectively, and the Irish government and the Apple company launched legal action against the Commission’s decision.
The case was dealt with in the General Court of the EU, which is within the structure of the Court of Justice of the European Communities.
This court reversed the decision of the EU Commission on taxes in Ireland in 2020 in favor of Apple.
The General Court ruled that the EU Commission’s decision that Apple had provided economic benefits in Ireland was insufficiently substantiated and erroneous.
The EU Commission claimed that legal errors were made in the General Court’s decision, that the Commission did not sufficiently assess the reasons for the decision to impose fines and that it used contradictory logic and appealed the case.
Decisions of the General Court of the EU can be brought before the Court of Justice of the European Union, which is the highest court for legality review. (AA)