The controversial case of Apple's tax affairs in Ireland is going back before the courts today. The Irish government is accused of letting the US tech giant underpay tax to the tune of 13 point 1 billion euro - to make Ireland a more favourable place to do business.
A court ruled in 2020 that the arrangement was lawful - but the European Commission is appealing that decision to the EU's top court today. The Irish government argues that individual states have a right to run their own tax affairs.
Economist Austin Hughes says this is a case the Commission will "desperately" want to win. "The reality is that if Ireland gets the €13 billion, its reputational damage and maybe its status with the multinationals could be significantly affected,” economist Austin Hughes said.
“In those circumstances, the much discussed €60-65 billion of Government surpluses that are expected over the next couple of years could be placed at risk.”
