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To me this looks like a corporate shakedown. The EU has some truly dumb laws (as do we here in the US), but punishing companies that folllow the law shouldn’t

by MR4D 9y ago

To me this looks like a corporate shakedown. The EU has some truly dumb laws (as do we here in the US), but punishing companies that folllow the law shouldn’t be the solution. Fixing the law is the only right (and moral) option. Everything else is basically thuggery.

kuschku 9y ago
The EU is based on a legal system that believes that the spirit of the law, if it is obvious, is above the letter of the law (and also it doesn’t have precedents, all courts can reinterpret law again, if you want to change something, you need to rewrite the laws). As a result, this is completely justified – Amazon and Apple broke the spirit of the law with a technicality.
- taysic 9y ago
  Realistically its those governments who offered them the deals that broke the law. I don't see why its the companies obligation to deny these tax deals and uphold the EU's wishes.
  - ionised 9y ago
    I find it difficult to believe companies as big as Apple and Amazon don't have teams of tax lawyers aware of EU tax law that knew very well this deal wouldn't last, and yet they claim they knew nothing of how illegal this was. It's bollocks.
ams6110 9y ago
Exactly. Government sees some successful operation, and sends the tax goons around to make sure they "pay tribute."
- ionised 9y ago
  Tax is theft?
cc81 9y ago
They are not punishing the companies, they are ordering the countries the follow EU law and that indirectly means that Apple or Amazon for example needs to pay more taxes. I think it is a pretty reasonable law. EU has a large inner market and the idea behind this law is that corporations should not be able to play countries against each other (i.e. you get a lot of jobs if we don't have to pay corporate tax) and just using tiny countries to get access to the large ones. So see it as a collective bargaining that is beneficial for EU.
- plandis 9y ago
  Well actually the US published a white paper [1],on how the EUs interpretation (not a change in law) changed when it benefitted hem to go after Apple. This isn't collective bargaining it's selective application of the law to give EU companies an advantage. [1] https://www.treasury.gov/resource-center/tax-policy/treaties/Documents/White-Paper-State-Aid.pdf https://www.treasury.gov/resource-center/tax-policy/treaties...

by MR4D 9y ago

kuschku 9y ago

The EU is based on a legal system that believes that the spirit of the law, if it is obvious, is above the letter of the law (and also it doesn’t have precedents, all courts can reinterpret law again, if you want to change something, you need to rewrite the laws). As a result, this is completely justified – Amazon and Apple broke the spirit of the law with a technicality.

taysic 9y ago
Realistically its those governments who offered them the deals that broke the law. I don't see why its the companies obligation to deny these tax deals and uphold the EU's wishes.
- ionised 9y ago
  I find it difficult to believe companies as big as Apple and Amazon don't have teams of tax lawyers aware of EU tax law that knew very well this deal wouldn't last, and yet they claim they knew nothing of how illegal this was. It's bollocks.

ams6110 9y ago

Exactly. Government sees some successful operation, and sends the tax goons around to make sure they "pay tribute."

ionised 9y ago
Tax is theft?

cc81 9y ago

They are not punishing the companies, they are ordering the countries the follow EU law and that indirectly means that Apple or Amazon for example needs to pay more taxes. I think it is a pretty reasonable law. EU has a large inner market and the idea behind this law is that corporations should not be able to play countries against each other (i.e. you get a lot of jobs if we don't have to pay corporate tax) and just using tiny countries to get access to the large ones. So see it as a collective bargaining that is beneficial for EU.

plandis 9y ago
Well actually the US published a white paper [1],on how the EUs interpretation (not a change in law) changed when it benefitted hem to go after Apple. This isn't collective bargaining it's selective application of the law to give EU companies an advantage. [1] https://www.treasury.gov/resource-center/tax-policy/treaties/Documents/White-Paper-State-Aid.pdf https://www.treasury.gov/resource-center/tax-policy/treaties...