merrion street

The Minister for Finance, Michael Noonan T.D. today announced that the Government has decided to appeal the decision of the European Commission on the Apple State aid case.
“The Government has decided unanimously to bring an appeal before the European Courts to challenge the European Commission’s decision on the Apple State aid case. I believe that there are some very important principles at stake in this case and that a robust legal challenge before the Courts is essential to defend Ireland’s interests. The full amount of tax was paid in this case and no State aid was provided. Ireland did not give favourable tax treatment to Apple. Ireland does not do deals with taxpayers.”
Ireland has two months and 10 days to lodge the appeal. Pending the outcome of that appeal, Ireland is required to recover up to €13bn, together with interest, from the company. The sum may be placed in an escrow account until legal proceedings have concluded.
The Minister noted that the Government is also proposing a motion to the Dáil, supporting the appeal. The Government motion affirms its commitment to the:
• 12.5% corporation tax rate,
• Research and Development tax credit, and
• Knowledge Development Box.
The Minister also spoke about the Government’s decision to undertake a review of the corporation tax code, which is to be done by an independent expert. The review will exclude any possibility of a change to the 12.5% corporation tax rate.
“It is good practice to undertake periodic reviews of key areas of Government policy. The last review of corporation tax policy took place in 2014. Since then a wide range of new international developments have emerged in international taxation, such as the OECD Base Erosion and Profit Shifting Project (BEPS). We need to ensure that Ireland’s corporation tax code meets these new standards while remaining competitive as the economy continues to grow.”