The EU Commission concludes that Luxembourg has granted undue tax benefits to an electronic commerce company (Amazon)

State aid: Commission finds Luxembourg gave illegal tax benefits to Amazon worth around €250 million* The European Commission has concluded that Luxembourg granted undue tax benefits to Amazon of around €250 million. This is illegal under EU State aid rules because it allowed Amazon to pay substantially less tax than other businesses. Luxembourg must now recover the illegal aid. Commissioner Margrethe Vestager, in charge of competition policy, said "Luxembourg gave illegal tax benefits to Amazon. As a result, almost three quarters of Amazon's profits were not taxed. In other words, Amazon was allowed to pay four times less tax than other local companies subject to the same national tax rules. This is illegal under EU State aid rules. Member States cannot give selective tax benefits to

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European Commission, The EU Commission concludes that Luxembourg has granted undue tax benefits to an electronic commerce company (Amazon), 4 October 2017, e-Competitions Bulletin October 2017, Art. N° 84908

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