EU Likely to Ask Amazon to Pay Hundreds of Millions in Back Taxes to Luxembourg (Oct 3, 2017)
In a case with significant parallels to the European Commission’s tax case against Apple, it appears that it’s preparing to take similar action against Amazon over its past payment of taxes in Luxembourg, where its European operations are headquartered. As with the Apple case and Ireland, the country had offered Amazon reassurances that it was in compliance with local tax laws and the company has therefore been paying taxes in good faith, but the Commission feels that the deal involved special considerations which go against the normal tax rules for businesses in the country and therefore violate EU rules. The decision might be announced on Wednesday, and is likely to leave Amazon with a tax bill to Luxembourg for several hundred million euros, much smaller than Apple’s tax bill of 13 billion euros, but still significant given the level of Amazon’s overall profits in Europe, which have always been fairly low.
via Financial Times
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