Apple Ordered to Repay €13 Billion in Taxes to Ireland by EU Court

In a significant legal development, the European Court of Justice (ECJ) has ruled that Apple must repay €13 billion (£11 billion; $14 billion) in back taxes to Ireland. This decision upholds a 2016 European Commission ruling that found Ireland had granted Apple unlawful tax advantages, which the tech giant must now return.

The case dates back eight years, with the European Commission accusing Ireland of offering Apple favorable tax arrangements that were not available to other companies, effectively giving the company an illegal competitive edge. Despite Ireland’s consistent opposition to this ruling, the ECJ has now confirmed that the tax benefits Apple received between 1991 and 2014 violated EU state aid rules.

“The Court of Justice gives final judgment in the matter and confirms the European Commission’s 2016 decision: Ireland granted Apple unlawful aid which Ireland is required to recover,” the ECJ stated in its ruling.

This judgment marks the culmination of a lengthy legal battle and is a major victory for the European Commission’s efforts to ensure that multinational corporations pay their fair share of taxes within the EU. The decision is particularly notable as it arrives just a day after Apple launched its new iPhone 16 range.

The ruling underscores the EU’s commitment to cracking down on creative financial arrangements used by large corporations to minimize their tax liabilities. Apple’s case has been one of the most high-profile in the Commission’s broader campaign to ensure fair taxation across the European Union.