Hundreds of Companies Seen Cutting Tax Bills by Sending Money Through Luxembourg

The list of multinational businesses accused of using European jurisdictions to cut their tax bills grew much longer on Wednesday when a group of investigative reporters published findings accusing more than 300 companies, including PepsiCo, Ikea and FedEx, of benefiting from preferential deals with the government of Luxembourg. The findings, by the International Consortium of Investigative Journalists, are based on a trove of leaked documents that included 548 so-called comfort letters that the group said Luxembourg had provided to corporations seeking favorable tax treatment. “These companies appear to have channeled hundreds of billions of dollars through Luxembourg and saved billions of dollars in taxes,” the consortium reports in an article reviewing the findings, which was made available to The International New York Times on Wednesday. The findings, based on nearly 28,000 pages of confidential documents that were obtained by the consortium, could make awkward reading for Jean-Claude Juncker, the former prime minister of Luxembourg, who took office on Saturday as the president of the European Commission, the European Union’s executive body.
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