On February 01 we posted a report titled "Europe's Antitrust Chief Determined to Pursue Apple in Tax Case." On February 12 we posted another report titled "U.S. Treasury Secretary Calls on the EU Commission to reconsider their Tax Probes targeting U.S. Companies," and when they didn't get a favorable response from the EU commission, the U.S. Treasury let it be known very publicly that they would seek to introduce retaliatory measures against the EU if they didn't back down on their tax cases against Apple. Now, this coming Wednesday, Apple, Google, McDonald's and IKEA will be asked about their European tax deals as EU lawmakers ratchet up the pressure on multinationals to pay more tax on their profits locally.
Reuters reports that "The hearing, organized by the European Parliament's tax committee, follows a similar event in November last year when Anheuser-Busch, Google and eight other companies were quizzed on the same subject.
While the committee has no power to order changes, the hearing reflects the political concerns over multinationals avoiding local tax liabilities.
The European Commission is also investigating several cases to see if they breach the bloc's state aid rules which prohibit EU countries from giving some companies an unfair advantage by making special deals on tax."
Will there be fireworks on Wednesday with Apple calling the EU's investigation "Political Crap" to their face as Apple's CEO Tim Cook did with Charlie Rose back in back in December 2015? Only time will tell.
Note: The special committee on Tax Rulings in Europe is known as 'TAXE'