The U.S. Government has reportedly intervened in Apple’s appeal against a tax ruling imposed by the EU. The ruling mentioned that Apple only paid about 0.005-1% in taxes to the Irish Government between 2003 and 2014, while the region’s corporate tax was set at 12.5%. As a result, the EU had ordered Apple to pay EUR13 billion in back taxes to Ireland.
The Irish Government has denied offering favorable treatment to Apple and has also appealed the ruling. Apple has countered the ruling by mentioning that the intellectual property of its products was developed in the U.S., hence negating any claims made with regards to taxes.
The U.S. Government, on the other hand, has reportedly intervened in Apple’s appeal, claiming that the EU is stealing the penalties that should originally be directed towards the U.S. It is not clear at this point if the U.S. filed for an appeal recently or during the Obama administration.
Apple has taken its appeal to the General Court in Luxembourg, which is expected to have a hearing on the matter sometime in late 2018. The company previously launched scathing attacks against EU Commissioner for Competition, Margrethe Vestager, claiming that Apple was an easy target given its status in the industry. Apple’s lawyer, Bruce Sewell also mentioned how Vestager was looking to become “Dane of the Year” in 2016.
The appeal will drag on until 2018, and perhaps further into 2019. It will be interesting to see what the U.S. Government and the EU will have to say about these new findings.