THE F-WORD

Friday 28 November 2014

Avoiding Maga Systems

Friday 28 November 2014
LS:N global informs us of Avoiding the Mega-Systems companies such as Starbucks, Amazon, Apple and Google have been avoiding pay taxes or lower tax rates. 






Starbucks especially has been attacked by it consumers which has effected its credibility, the company has now been blown out by competitor Costa Coffee who have also increased like for like sales at 7.1% past three months. Starbuck has only paid £8.5 million in corporation tax since opening in the UK in 1998.





Amazon was accused of using Luxembourg as a location to dramatic decrease in tax obligation in the UK. Amazon has only paid £1.8 million in corporation tax in 2011, against their £3.35 billion turnover in UK sales. The company has confirmed these statistics claiming they only made a total of £74 million. 




Apple In the United States committee have blamed Apple of using a complicated website of offshore entities to avoid paying the cost in tax. Apple have escape paying billion of dollar is US taxes, although the company has claimed this is not the case and they are believe they are one of the largest tax payers having paid six billion dollars is 2012 financial year. Apple was established ti have only paid a corporation tax rate of 1.9% outside North America. 








Google course a public outrage in 2011, after finding out the online web search engine had only paid £6 million in corporation taxes. Google had made that year a remarkable £2.5 billion in the UK, the company chairman has defended the company has fully complied to the law before the Parliamentary Public Account Committee.





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