European Union - Apple case: State Aid Concerning the (mis)allocation of profits to Irish PEs – Opinion statement ECJ-TF 2/2024 on the decision of the CJEU of 10 September 2024 in commission v. Ireland and others (Joined Cases C-465/20 P)

This is an Opinion Statement prepared by the CFE ECJ Task Force1 on the Commission v Ireland (Apple) case (hereinafter: the "Apple Case"), in which the Court of Justice of the EU (Grand Chamber) delivered its decision on 10 September 2024.2

The Apple case concerns the question of whether tax rulings issued by the Irish tax administration to Irish incorporated but non-resident companies that form part of the Apple Group are compatible with EU rules on State aid and, in particular, if the General Court's holding that the Commission had failed to prove to the required standard that such aid had indeed been granted, was legally correct.

The Court set aside the General Court judgment of 15 July 2020, which had annulled the European Commission findings of State aid. The CJEU's Grand Chamber found that the General Court made errors in its understanding of the Commission's decision3 that led it to wrongly conclude that the Commission had failed to demonstrate that the tax rulings led to favourable tax treatment of the non-resident entities in comparison to non-integrated standalone companies and other companies dealing at arm's length. In reaching this result, the Grand Chamber judgment follows the Opinion of AG Pitruzzella delivered on 9 November 2023.4

Rather than referring the case back to the General Court for reconsideration, as the AG had recommended, the Court decided to render a final judgment on the validity of the Commission decision, reinstating it in full.

This Opinion Statement seeks to explain and analyse the CJEU's reasoning both with respect to the annulment of the General Court's judgment and its final ruling on the granting of illegal state aid to the Apple Group.