From a Bloomberg Report Today – Belgium, the home of beer giant, A-B InBev, has been ordered by a European Union commission to recover $763 million from at least 35 different companies it says have participated in illegal tax breaks. AB has been accused of receiving shelter to 140 million Euros of profit by funneling it to a company that only exists on paper.
Margrethe Vestager, the EU’s competition chief, said in a statement:
“Belgium has given a select number of multinationals substantial tax advantages that break EU state aid rules…It distorts competition on the merits by putting smaller competitors who are not multinational on an unequal footing.”
“The result is double non-taxation,” Vestager said, adding that the deducted profits are not taxed anywhere.