Apple. First One Trillion Dollar Company.

[Obelix]

Yeah he's a tax fiddler & I seriously doubt you earn anything near Bezos salary.

 

Just because you are incapable of doing so it doesn't mean others cannot

[bendix]

But from profits earnt in the UK he isn't paying much in corporation tax. Aldi have invested in the UK, they pay more corporation tax on similar profits - they'll pay a bucket more in business rates too but that's by the by - and there's the likes of Morrison's who say Aldi aren't paying enough.

 

So he pays tax on it somewhere - probably. That's not helping the UK tax fund. I've no objection to the profits Amazon make, they can treble for all I care but tax laws need to keep up.

 

 

I'm sorry but this makes no sense at all. HE doesn't pay corporation tax; his company pays corporation tax.

 

How does Amazon paying exactly the amount required under UK tax laws make Amazon some kind of corporate pariah?

[tinfoilhat]

I'm sorry but this makes no sense at all. HE doesn't pay corporation tax; his company pays corporation tax.

 

How does Amazon paying exactly the amount required under UK tax laws make Amazon some kind of corporate pariah?

 

Ok Amazon pay corporation tax. But you knew that so well done.

 

Corporation tax generated about £34bn a year to the UK tax pot. If every business took Amazon's view on tax planning would that be lower and how would a UK government fill that void?

[bendix]

Ok Amazon pay corporation tax. But you knew that so well done.

 

Corporation tax generated about £34bn a year to the UK tax pot. If every business took Amazon's view on tax planning would that be lower and how would a UK government fill that void?

 

 

Every business DOES take Amazon's view on tax planning. If you can find one single company (or person for that matter) that pays more tax than it is legally obliged to pay, I'll be amazed.

 

Do you pay more tax than you need to? When you get your tax statement at the end of the year, do you say 'nahhhhh .. here's a couple of thousand extra, because I'm in the mood.' When you buy a pint, do you offer double the price and tell them to send the extra to the exchequer?

 

Of course not - the proposition is totally ridiculous.

[Robin-H]

Every business DOES take Amazon's view on tax planning. If you can find one single company (or person for that matter) that pays more tax than it is legally obliged to pay, I'll be amazed.

 

Do you pay more tax than you need to? When you get your tax statement at the end of the year, do you say 'nahhhhh .. here's a couple of thousand extra, because I'm in the mood.' When you buy a pint, do you offer double the price and tell them to send the extra to the exchequer?

 

Of course not - the proposition is totally ridiculous.

 

The Queen :-) (but I agree with your overall point)

[tinfoilhat]

Every business DOES take Amazon's view on tax planning. If you can find one single company (or person for that matter) that pays more tax than it is legally obliged to pay, I'll be amazed.

 

Do you pay more tax than you need to? When you get your tax statement at the end of the year, do you say 'nahhhhh .. here's a couple of thousand extra, because I'm in the mood.' When you buy a pint, do you offer double the price and tell them to send the extra to the exchequer?

 

Of course not - the proposition is totally ridiculous.

 

So why doesnt every company with profits of 80m only pay 1.7m? Of course they dont or they'd all be paying less than 5% of their operational profits! I pay 20% on mine. Im pretty sure I cant defer it and I can't magic those profits away - the tax man WILL ask questions as Im an easy target.

 

My point is that tax laws arent keeping up. To pay 1.7m on 80m is, obviously perfectly legal - I wouldnt suggest otherwise. But because Amazon and their ilk are only 1.7m rather than 16m that they really should do, that hits the UK tax pot. It cant not hit it. Its been highlighted the size of UK tax law and big companies can exploit it far easier than small ones can. Id rather see a coproration tax rate of 10% that everyone pays rather some paying 20 odd and some, by using that legal big book of tax loopholes pay significantly less.

[bendix]

So why doesnt every company with profits of 80m only pay 1.7m? Of course they dont or they'd all be paying less than 5% of their operational profits! I pay 20% on mine. Im pretty sure I cant defer it and I can't magic those profits away - the tax man WILL ask questions as Im an easy target.

 

My point is that tax laws arent keeping up. To pay 1.7m on 80m is, obviously perfectly legal - I wouldnt suggest otherwise. But because Amazon and their ilk are only 1.7m rather than 16m that they really should do, that hits the UK tax pot. It cant not hit it. Its been highlighted the size of UK tax law and big companies can exploit it far easier than small ones can. Id rather see a coproration tax rate of 10% that everyone pays rather some paying 20 odd and some, by using that legal big book of tax loopholes pay significantly less.

 

You seem to be arguing against yourself. First you criticise Amazon for not paying enough taxes, although you say what they are doing is perfectly legal. Then you attack the tax laws as not keeping up. Which is it? The two can't coexist.

 

You simply can't get around the fact that Amazon paid it's legal tax obligation. It might have made £80m operating profit,but it also made payments from that of £55m in share-based payments to staff, which means it's net profit was around £25m. It's total tax liability of around £4.6m is around 20% of that net profit. £2.9m of that £4.6m has been deferred - it is still owed.

 

I'm really struggling to understand your issue. Move away from the Daily Mail headlines and get your head around the hard facts, would be my suggestion.

[Obelix]

Ok Amazon pay corporation tax. But you knew that so well done.

 

Corporation tax generated about £34bn a year to the UK tax pot. If every business took Amazon's view on tax planning would that be lower and how would a UK government fill that void?

 

If they were to offset the payments in the same way that Amazon do they would avoid the corporation tax and the employees would pay tax on the dividends or perhaps CGT on the sale.... the tax moves about but the Govt still gets it.

 

---------- Post added 07-08-2018 at 14:14 ----------

 

So why doesnt every company with profits of 80m only pay 1.7m? Of course they dont or they'd all be paying less than 5% of their operational profits! I pay 20% on mine.

 

You are running a service company? You are the director?

 

If you were an employee you could be paid in shares just like Amazon workers are and if you keep them for four years then it is tax free... Get the company tax bill down too.

 

But a director cannot do that. It's a tax break that is not allowed for the wealthy or those in control of a company. But that sort of thing never appears as a headline on the rag top red papers...