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Exclusive: EU regulators to rule against Engie's Luxembourg tax deal - source

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Exclusive: EU regulators to rule against Engie's Luxembourg tax deal - source

Exclusive: EU regulators to rule against Engie's Luxembourg tax deal - source
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BRUSSELS (Reuters) - EU antitrust regulators will in the coming weeks order Luxembourg to recover millions of euros in back taxes from Engie because the French power utility had an unfair tax advantage due to its tax deal with the Grand Duchy, a person familiar with the matter said.

It will be the third ruling against Luxembourg's tax deals with multinationals and the fifth against EU countries including Ireland, Belgium and the Netherlands as part of the European Commission's crackdown against illegal tax deals.

The ruling comes after a near two-year long investigation into the tax rulings granted by Luxembourg since 2008 which appeared to treat the same financial transaction as both debt and equity, leading to double non-taxation of companies in the GDF Suez group, as Engie was formerly known.

(Reporting by Foo Yun Chee; editing by Robert-Jan Bartunek)

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