Amazon wins tax battle against European Commission
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The news: The EU’s highest court ruled in favour of Amazon on Thursday, determining that the European Commission could not force Amazon to pay €250 million ($410 million) in back taxes to Luxembourg.
The numbers: The Commission has been waging a war against corporate tax deals in the EU, which have historically been structured in a favourable way toward corporations and high net worth individuals. Thursday’s decision could impact the Commission’s ongoing dispute with Apple, against which it is seeking €14.3 billion to be paid in back taxes in Ireland.
The context: In the case of Amazon, the European Court of Justice upheld the decision of a lower court, confirming that the Commission did not establish that the tax ruling given to the tech giant by Luxembourg was a State aid and therefore incompatible with the internal market.
The sources: European Commission, Court of Justice of the European Union
