The EU general court found Amazon had no illegal tax advantage in Luxembourg as claimed by the European Commission, according to CNBC. The ruling shields the U.S e-commerce giant from 250 million euros or $303 million in taxes to Luxembourg as ordered by the European Commission.
European Commission had claimed in 2017 that Luxembourg gave Amazon tax benefits which resulted in paying less tax by four times compared to local entities.
Amazon welcomed the court’s verdict, saying it has complied with all applicable laws.
The European Commission can appeal the court ruling in the EU’s highest court.
The court ruling is the second one in less than a year where Amazon has won a case against the commission.
European lawmakers are considering practical changes in two proposals for similar instances, rather than fining non-compliant companies.
Amazon stock is currently declining. AMZN: NASDAQ is down 0.21% on premarket.
