EU’s Juncker: Apple Tax Decision is Clearly Based on Facts and Rules

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According to a report from Reuters, EU chief Jean-Claude Juncker said the decision to make Apple pay $14.5 billion in unpaid taxes was not an attack on the United States.

Last week, EU antitrust regulators ordered Apple to pay the sum to the Irish government after ruling that a special scheme to route profits through the country was illegal state aid. Apple’s CEO Tim Cook dismissed the ruling as “total political crap” and vowed to fight the ruling. In a statement, he said:

“When you are accused of something that is so foreign to your values, it brings out an outrage in you. That’s how we feel. Apple has always been about doing the right thing, never the easy thing.”

Mr. Juncker said the ruling was clearly based on facts and was ‘not a decision against the United States of America’, pointing to the fact that EU Commission investigations on taxation had mainly targeted European companies in the past. The decision comes amidst a coordinated global initiative to crack down on tax evasion by multinational companies.

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  • iverge

    This is not an attack on the US. This is about a huge corporation avoiding paying taxes. Tax money that could be going towards health, education and affordable housing. Ireland is a EU member state and as such has given the EU power to apply the ruling. If they don’t want the EU to do that then leave.

  • MGSayah

    Junker is a joke, and so is the EU… No surprise there

  • Chrome262

    no one said it was an attack on the US, countries all over the EU are looking for other sources of Tax revenue, so much so that they are looking to citizens abroad to find funds. Tax benefits to companies who create jobs in a country is a common practice all over the world, it encourages foreign investment, because the EU decides its a way to gain revenue doesn’t mean its correct, they are letting other companies in other countries do it all the time.

  • sully54

    It’s a much more complex issue than saying Apple is avoiding paying taxes.

    Apple is paying taxes, it’s just paying a highly reduced rate. Is it fair? Maybe not. But is it legal? In Ireland, yes.

    I do understand the intricacies of the relationship between the EU and its member states so I fully realize that EU law trumps member state law. But in this case, the EU’s own policy is that member states are free to decide their own tax strategy. This ensures the sovereignty of EU member states.

    Bigger picture, Ireland has agreed to reduce the corporate tax rate for Apple in exchange for local investment, jobs, etc. This is not nothing because in exchange for the government taking in less revenue, you have a large multinational company establish their