Michael Noonan seeks Cabinet approval for Apple tax ruling appeal

Finance Minister Michael Noonan will today seek Cabinet approval for an appeal against the European Commission’s ruling that the State must collect €13 billion in unpaid tax from US tech giant Apple.

Mr Noonan maintains that the full amount of tax was paid and no state aid was provided.

Ireland has a period of two months and 10 days to bring an appeal.

The issue could drive a wedge between governing Fine Gael and its Independent Alliance coalition partners, according to some reports.

The Independent Alliance has said it is seeking its own independent advice ahead of the Cabinet meeting and has kept open all options.

Until an appeal succeeds, Ireland is legally obliged to recover the €13 billion from Apple, which it said will be held in escrow until the appeal has concluded since the money “may ultimately have to be returned”.

Mr Noonan said: “I disagree profoundly with the Commission’s decision. Our tax system is founded on the strict application of the law, as enacted by the Oireachtas, without exception.

“The decision leaves me with no choice but to seek Cabinet approval to appeal the decision before the European Courts. This is necessary to defend the integrity of our tax system; to provide tax certainty to business; and to challenge the encroachment of EU state aid rules into the sovereign Member State competence of taxation.

“It is important that we send a strong message that Ireland remains an attractive and stable location of choice for long-term substantive investment. Apple has been in Ireland since the 1980s and employs thousands of people in Cork. The company has continued to expand its operations in Ireland in recent times.”