The EU's top official, Jean-Claude Juncker, has admitted that the “LuxLeaks” scandal linking his time as Luxembourg’s Prime Minister to a number of favourable tax deals for multinationals has “weakened” his position, but insists he will remain in his post.
His comments in the French newspaper, Liberation, were published yesterday as the International Consortium of Investigative Journalists released a second tranche of leaked documents. The papers apparently reveal how Disney and the US-based commodities group Koch Industries seemingly used complicated financial structures in Luxembourg to pay minimal tax.
They followed similar revelations in November which showed that around 340 multinationals had taken advantage of Luxembourg’s laws to pay as little as 1 per cent on their revenues.
Critics say that many of the tax deals were signed when Mr Juncker was Luxembourg’s Prime Minster between 1995 and 2013
Luxemboug’s finance ministry yesterday rejected any claims of wrongdoing, as did Disney and Koch Industries.Reuse content