Saturday, April 13, 2019
Ruth Mason (Virginia) presented The Tax Subsidy War, 69 Am. U. L. Rev. ___ (2019) (reviewed by Mirit Eyal-Cohen (Alabama) here) at Fordham on Thursday as part of its Faculty Workshop Series:
In August 2016, the European Union dropped a bombshell: it would require Ireland to collect more than $14.5 billion in back taxes from Apple under the Europe’s anti-subsidy rules. Europe’s tax investigations responded to suspicions that certain EU countries colluded with large U.S. multinationals to help the companies avoid other states’ taxes. Europe’s bold moves against U.S. companies provoked sharp rebukes from the United States, including threats to impose retaliatory taxes and claims that Europe abrogated tax treaties with the United States.
At the inception of a new and potentially transformative type of tax enforcement by Europe, this Article shows how the European Court of Justice can use its judicial review powers to de-escalate tax hostilities between the United States and Europe while simultaneously advancing the goals underlying the EU’s prohibition on subsidies.