EU set to probe McDonald's tax deal with Luxembourg

EU competition regulators are likely to launch a formal investigation into McDonald’s tax deal with Luxembourg, two people with knowledge of the matter said yesterday, widening the bloc’s crackdown on corporate tax avoidance.

European Competition Commissioner Margrethe Vestager could announce the investigation by today following on the heels of other recent cases, including alleged deals between Ireland and Apple.

In October, Vestager ordered the Dutch government to claw back up to €30m in back taxes from US coffee chain Starbucks and told Luxembourg to do the same for Fiat Chrysler Automobiles.