The US Ministry of Finance criticized, through a representative, the investigation that the European Commission is conducting against Apple due to tax practices in Europe. Everything has in the middle an agreement between Apple and Ireland to pay corporate taxes of only 2.5% instead of 12%, as paid by the rest of the companies operating in the country.
Representatives of the US Treasury are of the opinion that an unfavorable decision by Apple could create an unwanted precedent and could endanger international agreements on financial reform. Everything seems to be just pressure on the Europeans to make a favorable decision for Apple, but it is unlikely that this will happen.
Those from the USA argue that this European Commission believes itself to be a supranational fiscal authority, going much further than its own borders and competition legislation. The European Commission was also criticized in the past by the USA because of this attitude vis-à-vis American companies and their tax agreements, but this did not matter until now.
Apple generated $64.1 billion in profits between 2004 and 2012 through multiple Irish subsidiaries that control all of its European businesses, and it could be taxed at 12.5%. At such a percentage of the profit tax, Apple would have to pay approximately 8 billion dollars to the authorities in the form of tax, much more than it has paid so far.
The European Commission opened the investigation against Apple in 2014 and has not yet completed it, but it is expected that the verdict will be announced next month, or at the latest in October. If Apple will be forced to pay the difference between the tax paid and the one it had to pay, those from Cupertino will not receive such a strong blow.
