The European Union’s antitrust regulator has demanded that Ireland recoup roughly €13 billion ($14.5 billion) in taxes from Apple Inc., after ruling that a deal with Dublin allowed the company to avoid almost all corporate tax across the entire bloc for more than a decade—a move that could intensify a feud between the EU and the U.S. over the bloc’s tax probes into American companies.
The tax payment is the highest ever demanded under the EU’s longstanding state-aid rules that forbid companies from gaining advantages over competitors because of government help.
In a statement Tuesday, Apple said it would appeal the decision. Chief Executive Tim Cook, in an open letter, said: “Apple follows the law and we pay all the taxes we owe.”
Irish Finance Minister Michael Noonan said “I disagree profoundly with the Commission’s decision,” adding that the country would appeal the decision in order “to defend the integrity of our tax system.”