Irish Government must challenge EU ruling on Apple

mouse-586244_1920

 

Chambers Ireland has responded to the decision by the EU Competition Commissioner that Ireland granted undue tax benefits of up to €13 billion to Apple.

The Commission said “selective treatment” allowed Apple to pay a tax rate of 1 per cent on European Union profits in 2003 down to 0.005 per cent in 2014.

Commenting on the European Commission ruling, Mark O’Mahoney, Director of Policy and Communications, Chambers Ireland said: “A transparent tax regime has been one of the cornerstones of Ireland’s success in attracting international FDI. Ireland has in recent years been to the fore in promoting international cooperation in taxation and has shown leadership in the OECD BEPS project and through unilateral changes to the Irish tax code to close off potential loopholes.

“Retrospection has no place in international taxation, absolute sovereignty in our tax affairs must be safeguarded. It is vital that Ireland protects its international reputation for tax certainty and competitiveness. The Government must challenge today’s ruling by the European Commission, and must do so in a robust fashion. Cabinet must give approval for an appeal to the European Courts as soon as possible.”

Our Related Content   Increased investment essential to meet needs of growing population

Meanwhile, Ireland’s investment promotion agency IDA Ireland has said that the country’s position has not changed despite the ruling. Speaking earlier, Chief Executive Martin Shanahan said: “We do not do tax deals, and it’s simply untrue and a gross mischaracterisation of our taxation regime to say otherwise.

He continued: “This decision does not impact on Ireland’s value proposition and I believe that Ireland will continue to win investment and, in that light, we welcome Apple’s restated commitment to Ireland today building on its significant presence here.”

Apple has operated continuously in Cork since 1980 and today they employ nearly 6,000 people across Ireland.