The European Union’s highest court ordered Apple to pay Ireland $14 billion in unpaid taxes
The European Court of Justice (CJEU) has ordered Apple to pay Ireland $14 billion in unpaid taxes between 1991 and 2014 on Tuesday, ending an eight-year legal dispute.
In 2016, the European Commission (EC) accused Ireland of giving the tech giant unlawful aid and illegal tax advantages for over a decade. The Irish government, keeping up with its pro-business appeal, argued it did not need to tax the tech giant.
But it all ended with the CJEU ruling yesterday.
Apple, disappointed, accused the EC of “trying to retroactively change the rules” and stated the issue was about which government it owed, not how much tax.
On the same day, Google was ordered to pay a $2.57 billion fine for promoting its own shopping service over competitors—abusing its market dominance in shopping comparison services. The fine initially issued in 2017 was upheld by the CJEU.
A victory for EU tax justice
EU antitrust chief Margrethe Vestager praised both rulings as significant victories for tax fairness and regulation. The rulings reflect the EU’s efforts to curb multinational tax avoidance and ensure equal market competition.