Apple loses court battle, owes $14 billion to Irish government in back taxes
Apple headquarters | Image credit — Zetong Li from PexelsApple has been ordered to pay a staggering fourteen billion dollars (€13b Euros) in back taxes to the Irish government following a final ruling by Europe’s highest court. This decision marks the end of an eight-year legal battle between Apple, the Irish government, and the European Union. The core issue was Apple’s tax arrangements in Ireland, which the EU deemed illegal state aid.
Apple channeled revenue from its EU sales through its Irish headquarters, taking advantage of Ireland’s low corporate tax rate and special arrangements that further reduced its tax burden. In 2016, the EU declared these arrangements unlawful, stating that Apple owed the taxes that should have been collected.
