- Title: EU court upholds EU order to Fiat to pay Luxembourg back taxes
- Date: 24th September 2019
- Summary: AUBURN HILL, MICHIGAN, UNITED STATES (FILE) (REUTERS) VARIOUS EXTERIORS OF FIAT CHRYSLER HEADQUARTERS
- Embargoed: 8th October 2019 12:02
- Keywords: crackdown Car maker European Court of Justice EU Court Fiat Chrysler taxes European Union ECJ
- Location: LUXEMBOURG, LUXEMBOURG / AUBURN HILL, MICHIGAN, UNITED STATES / BRUSSELS, BELGIUM
- City: LUXEMBOURG, LUXEMBOURG / AUBURN HILL, MICHIGAN, UNITED STATES / BRUSSELS, BELGIUM
- Country: Luxembourg
- Topics: Crime/Law/Justice,Judicial Process/Court Cases/Court Decisions
- Reuters ID: LVA001AY0PDFR
- Aspect Ratio: 16:9
- Story Text: Europe's second-highest court on Tuesday (September 24) backed an EU order to Fiat Chrysler Automobiles to pay up to 30 million euros ($32.9 million) in back taxes to Luxembourg, as part of a crackdown against illegal tax breaks given to multinationals.
The European Commission, in its 2015 decision, said Fiat Chrysler set prices for goods and services sold between subsidiaries, known as transfer prices, that were below market rates and which artificially lowered their taxes.
The case is part of European Competition Commissioner Margrethe Vestager's crackdown on unlawful tax breaks offered by EU countries to multinationals that has also extended to Apple's Irish deal and Amazon's Luxembourg deal, among others.
Luxembourg, the Netherlands and Ireland are among countries whose economies have benefited from attracting multinationals.
(Production Clement Rossignol, Hortense de Roffignac) - Copyright Holder: FILE REUTERS (CAN SELL)
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