Top EU court confirms multibillion-euro payments for Apple, Google

The European Union's highest court on Tuesday ordered Apple and Google to pay billions in back taxes and a competition fine respectively, ending lengthy legal disputes.

The two cases were part of Brussels' fight to stop tax loopholes and rein in US tech giants.

The European Court of Justice (ECJ) backed on Tuesday a European Commission ruling that Apple must pay €13 billion ($14.4 billion) in back taxes, annulling a previous ruling in Apple's favour.

In 2016, the European Commission ordered the multi-billion euro tax payment, arguing that the US company had underpaid taxes due in the bloc following a suspected sweetheart deal with EU member Ireland.

Apple filed a successful complaint with the EU's general court, arguing that the commission had failed to prove that the contested tax deal constituted prohibited state aid.

The general court had sided with Apple, prompting the commission to call on the European Court of Justice (ECJ) to make a final ruling in the case.

The ECJ decided on Tuesday that the commission was right and in a statement on the ruling said that "Ireland granted Apple unlawful aid which Ireland is required to recover."

In a separate case, the ECJ confirmed a fine worth €2.4 billion ($2.7 billion) for Google for breaching EU competition rules with its price comparison service Google Shopping.

The commission first imposed the fine in 2017, arguing the search engine operator favoured its own price comparison service, Google Shopping, over those of its competitors, and therefore abused its market power.

Google had logged an unsuccessful complaint with the EU's general court in 2020 and had then appealed to the bloc's highest jurisdiction.

The search engine operator had argued that treating competitors differently is inherent in competition and innovation, not an antitrust violation.

The ECJ's ruling confirming the penalty is final and cannot be challenged.