The IKEA furniture store located on the Queensway in Etobicoke, Ont. The EU said it has suspicions that two tax Dutch rulings over the past dozen years have given the Swedish company an unfair edge over other firms.Fred Lum/The Globe and Mail
The European Union is opening an in-depth probe into Ikea's taxation model in the Netherlands, its latest effort to go after sweetheart deals for big multinationals.
The European Commission, the EU's executive branch, said it has suspicions that two tax Dutch rulings over the past dozen years have given the Swedish company of flat-box furniture an unfair edge over other firms that have to work under the same Dutch system.
Margrethe Vestager, the commissioner responsible for anti-trust matters, said Monday that member states cannot allow a select group of companies to pay less tax than others.
The Commission, she added will now "carefully investigate" the IKEA case.
In similar cases, the EU has also gone after member states to claw back taxes from the likes of Apple, Amazon and Starbucks.