Following the news that the European Commission is launching an investigation into Apple’s tax practices in Ireland, reports say the probe will also include the tax practices of other major companies, including Starbucks and Fiat, in more member states other than Ireland.
According to reports, Apple, Starbucks and Fiat are suspected of making unfair tax agreements in Ireland, the Netherlands and Luxembourg to lessen their tax payments.
European Commissioner Joaquin Almunia said that while the tax practices may be technically legal, they could pose competition concerns.
While the companies are now under investigation by the Commission, reports say the nations involved are also getting slack. Ireland has been criticized for its low tax rates, while Luxembourg and the Netherlands are being eyed for hosting “shell” companies for firms to bypass higher taxes elsewhere.
All three nations are also being accused of unfairly keeping information regarding the matter secret
Full content: CBC News
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