As Europe launches an investigation into several member states and several major conglomerates about their tax relationship, reports say the probe has widened to include Amazon and its operations in Luxembourg.
Last June, the European Commission launched an investigation into Apple and its relationship with Ireland. The probe is looking at whether tax breaks offered by the nation give companies and unfair advantage or violate state aid rules.
Following that investigation launch, reports emerged that the Commission was also looking into Starbucks’ operations in the Netherlands and Fiat Finance and Trade’s operations in Luxembourg for similar reasons
While reports say the Commission is focused on the companies’ relationships with these nations, and not just the companies themselves, the firms could be burdened with fines or other sanctions should the Commission find that these tax practices distort competition across the EU.
Reports emerged late last week that Luxembourg’s relationship with Microsoft and McDonald’s was also in question.
As the European Commission’s competition arm is set for an overhaul following the departure of EU Commissioner Joaquin Almunia, experts are questioning the future of EU competition enforcement. Almunia is widely seen as having introduced an era of activism within the authority, as the competition watchdog uses its antitrust powers for cases that are not solely competition-related – such a companies’ tax relationships with EU nations.
Full content: ZDNet
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Geradin Partners Expands Paris Office with Key Hire
Aug 30, 2024 by
CPI
Judge Accuses Google of ‘Clear Abuse’ in Antitrust Case Over Deleted Employee Chats
Aug 29, 2024 by
CPI
Hong Kong Cleaning Company Employee Charged in Historic Antitrust Investigation Case
Aug 29, 2024 by
CPI
Inside the Yelp Suit: Allegations of Google’s Abuse of Search Power
Aug 29, 2024 by
CPI
AI Safety Bill Clears Hurdle in California, Heads to Governor’s Desk
Aug 29, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – State Attorneys General
Aug 22, 2024 by
CPI
CPI Talks… …With Attorney General Phil Weiser
Aug 22, 2024 by
CPI
The Bipartisan Miracle of State Antitrust Enforcement
Aug 22, 2024 by
Gwendolyn J. Lindsay Cooley
Recent Developments in State Antitrust Enforcement: Agriculture and Food Markets
Aug 22, 2024 by
Elizabeth R. Odette
State Attorneys General: Stewards of Consumer Health and Welfare
Aug 22, 2024 by
Brooke Howlett Lovrovich