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EU antitrust regulators has ordered Apple to pay up to $14.5 billion in taxes to the Irish government.
The commission has ruled that the mobile phone maker’s tax benefits in Ireland were illegal. Ireland and Apple, both say the disagree with the penalty and will appeal the decision. The standard rate of Irish corporate tax is 12.5%.
The Commission’s investigation concluded that Apple had effectively paid 1% tax on its European profits in 2003 and about 0.005% in 2014. The record tax bill should not be a problem for Apple, which made a net profit of $53bn in the 2015 financial year.
Apple is not the only company that has been targeted for securing favorable tax deals in the European Union.
