The scandal emerged when the International Consortium of Investigative Journalists released a series of documents exposing Pepsi, IKEA, AIG, Coach, Deutsche Bank, Abbott Laboratories and nearly 340 other companies which had secured secret deals from Luxembourg that allowed many of them to slash their global tax bills.
Over 100 cross-party MEPs show support & solidarity for #LuxLeaks #whistleblowers & demand EU level protection! pic.twitter.com/G6gzKGMfup
— Transparency Int. EU (@TI_EU) 8 September 2016
"We, the undersigned Members of the European Parliament, are writing to express our support and solidarity with you in light of the on-going judicial proceedings against you in Luxembourg. We salute your courage over the past years and your tenacity in trying to overturn the 29 June verdict. Clearly, the Luxembourg Leaks had a decisive impact for the debate on tax transparency and tax justice. The European Citizen's Prize for Antoine Deltour in 2015 underlines this," the MEPs said in their letter.
Sweetheart Deals
The European Commission has demanded tech giant Apple pay US$14.5 billion in back taxes after a landmark ruling that the company's "sweetheart deal" with tax authorities in Ireland does not comply with the EU rules on state aid.
On June 11, 2014, the Commission initiated an investigation of an advance pricing arrangement provided by Luxembourg tax authorities to a Fiat financing company based in Luxembourg. The Commission has issued a final decision that the arrangements constitute State Aid. The decision is on appeal to the EU General Court.
Important new petition from @wemoveEU to end corporate tax dodging: https://t.co/xAcxCs67Li #Appletax #TaxJustice #LuxLeaks #transparency
— Lotta Staffans (@LottaStaffans) 5 September 2016
On October 7, 2014, the Commission initiated an investigation of advance pricing arrangements provided by Luxembourg tax authorities relating to the transfer price of royalties paid by an Amazon Luxembourg affiliate. The Commission has not issued a final decision; however, its preliminary view is that the arrangements constitute State aid.