EU made favorable tax decision in regards to McDonald's

Time to read
less than
1 minute
Read so far

EU made favorable tax decision in regards to McDonald's

September 19, 2018 - 14:11
Posted in:
0 comments

According to decision of European Union, McDonald’s Corp. was not getting any unlawful state aid from Luxemburg, Bloomberg reports. Such favorable decisions are quite rare in tax investigations initiated by EU in regards to American giants.

Photo © Mary Pahlke, CC0 1.0

According to decision of European Union, McDonald’s Corp. was not getting any unlawful state aid from Luxemburg, Bloomberg reports. Such favorable decisions are quite rare in tax investigations initiated by EU in regards to American giants.

Amazon.com was ordered to pay 250 million euro as a result of selective tax preferences that company received in Luxemburg. Two years ago Apple received multibillion tax bill for its revenue arrangements in Ireland. Google was fined for 6,7 billion euro up to date.

Investigations initiated by EU in regards to tax accounting of international companies are aimed to eliminate unfairness in the situations where the companies registered in tax heavens get most of its sales revenue in other states.

In case of McDonald’s it was concluded that the reason for double non-taxation was mismatch between tax laws in the US and Luxemburg, not special treatment of burger’s producer.