The European Commission is set to launch a formal competition probe into Apple and its tax practices in Ireland, according to an unnamed source.
News of the alleged investigation follows an announcement by the Commission last year that it would inquire about corporate tax practices in several EU states; Ireland was among those member states.
According to reports, Apple will be under investigation for its tax arrangements in the nation, though the source did not elaborate. But a study conducted by the US Senate last year found that Apple reduced its tax bill by billions of dollars by declaring some companies based in Ireland as not tax resident, reports say. In the US, reports note, Apple has entered into agreement with Irish subsidiaries that allow the Irish companies access to intellectual property that were later licensed to other companies, allowing Apple to avoid nearly all taxes in some EU nations.
Apple denies any wrongdoing, and a spokesperson for the Commission’s competition arm declined to comment on the matter. Further, reports say, Ireland’s finance ministry has not been made aware of any such investigation.
Full content: Reuters
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