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EU appeals in case Amazon paid 250 million euros in tax to Luxembourg

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 The European Commission (EC) has filed an appeal against the ruling of the Court of First Instance of the European Union (EU) annulling the request that technology company Amazon pay a tax of 250 million euros to Luxembourg.

On July 22, the European Commission (EC) filed an appeal against the ruling of the Court of First Instance of the European Union (EU) to cancel the request that the technology company Amazon (USA) pay a tax amount of 250 million VND. euro ($303 million) to Luxembourg offered by the union.

According to a ruling by the European Court of First Instance in May, the EU failed to prove that Luxembourg had an illegal tax advantage for Amazon.

In an investigation published in 2017, the EU concluded that Luxembourg had offered a preferential tax policy for Amazon, making nearly three-quarters of the company’s profits tax-free and required the technology company to refund 250 million. euro tax money for Luxembourg. Both Luxembourg and Amazon oppose the argument.

The EC said in a statement that the EU found the ruling of the European Court of First Instance to contain several legal errors.

With the above appeal decision, the controversy between the EU and Amazon will be referred to the European Court of Justice, the EU’s highest judicial body, for arbitration.

Previously, in July 2020, Apple (USA) also won an appeal at the European Court of First Instance regarding the EU’s request for this technology company to refund 13 billion euros in taxes. for Ireland.

According to the European Court of First Instance, the EU failed to prove that the Irish government provided a tax advantage to Apple.

These lawsuits take place after the LuxLeaks scandal in 2014. Accordingly, European journalists exposed 548 secret deals between 340 multinational corporations – including big names like Apple, Ikea, Pepsi – with Luxembourg tax authorities to pay fewer taxes, by declaring losses in countries where it is actually invested and declaring profits in Luxembourg where tax rates are very low.

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