JustOne
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Are they right or wrong to dodge UK tax... are they just being smart, resourceful or playing a very underhanded game?
Google - right or wrong?
- Thread starter JustOne
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virtuocity
Tour Winner
I would dodge it as long as the law allowed me to do so.
It's no different to individuals who work on a temp basis for companies but set themselves up as a ltd company to reduce tax liabilities.
Tax avoidance is a game and it's there to be played.
Don't blame the players, blame the creators.
It's no different to individuals who work on a temp basis for companies but set themselves up as a ltd company to reduce tax liabilities.
Tax avoidance is a game and it's there to be played.
Don't blame the players, blame the creators.
Are they making a contribution by arrangement as some do or are they paying zero.
bluewolf
Money List Winner
If I was in their situation, what would I do? If the local government allowed me to avoid tax, I'd avoid it. As said above, it's a game to these people, and many other people who use all sorts of schemes to avoid paying tax on earnings/savings etc...
MegaSteve
Tour Winner
Personally I don't think it is a 'game'... If the buggers don't pay shut them down... No great loss... Plenty of others out there that could/are providing similiar/same service...
Same goes for all the others... As an ordinary working man on PAYE I have no opportunity to avoid paying so why should they?
Same goes for all the others... As an ordinary working man on PAYE I have no opportunity to avoid paying so why should they?
If its tax evasion, then chase them for it. If its tax avoidance, i.e. avoiding paying tax because the rules allow them to do so, I can't see what they've done wrong.
As was said earlier, blame the people who are managing our tax system for what might be perceived as unfair avoidance.
As was said earlier, blame the people who are managing our tax system for what might be perceived as unfair avoidance.
bluewolf
Money List Winner
On what grounds exactly are you going to shut them down. They don't appear to have broken any laws. Most people practise tax avoidance of some sort, whether its on savings or earnings. Most perfectly legal. If you wish to make the art of tax avoidance illegal, then take it up with your local politico...
The ethos of the tax system is that tax should be paid in the company where the revenue is earned. Google is closing its sales enquiries in Ireland where the tax rate is lower even though it is dealing with 'sales' enquiries from the UK, Europe, US etc. They take the 'enquiries in the home country and they are then directed through to Ireland where the sale is completed. You may have seen the Google boss insisting that their employees in London weren't 'sales' staff. Illegal no - Immoral yes , but no different to Starbucks, Dell, Apple etc all are masters at bucking the system. The only way to do it is to change the tax legislation or boycott the organisations until they step back into line and pay tax. You'll hear them moan that they create wealth and jobs, but they also create profit which the revenue are due a slice of.
MegaSteve
Tour Winner
If you wish to operate within a community/country then you should be prepared to contribute to 'the system' through taxes etc... If you are not willing to do so... Clear off basically... [Bit of self editing there
]...
bluewolf
Money List Winner
If you wish to operate within a community/country then you should be prepared to contribute to 'the system' through taxes etc... If you are not willing to do so... Clear off basically... [Bit of self editing there
I'm in full agreement with you mate. I don't like the way that big corporations can now use their global power to avoid tax, BUT, I don't really blame them. I blame the weak will (or unwillingness due to the amount of political snouts in the trough) of successive governments to tighten up the tax system. How have we got to a situation where the Government is afraid of corporations. The only thing that governments should be afraid of is the people. Vive la revolution!!!!
Ethan
Money List Winner
Tax is a legal issue not a moral issue. If the UK Govt thinks Google do not pay enough tax, they should change the law accordingly. Funny that they don't attack Vodafone, though, who got a sweetheart deal from the HMRC. Funny that they don't attack their own ministers who allowed the HMRC buildings to be sold to an offshore company who then avoided tax on the proceeds.
The UK Govt, like some others, have encouraged international companies to set up certain operations in the UK, particularly financial companies whose businesses included developing tax avoidance schemes for other companies. It should have been obvious that these companies would structure their own operations to minimise tax exposure and advise others to do likewise. Many Govt advisers have been from these companies, and encouraged these policies while in the Treasury or Number 10.
And for a bunch of MPs to lecture anyone on the morality of their earnings and financial affairs is unspeakably hypocritical.
The UK Govt, like some others, have encouraged international companies to set up certain operations in the UK, particularly financial companies whose businesses included developing tax avoidance schemes for other companies. It should have been obvious that these companies would structure their own operations to minimise tax exposure and advise others to do likewise. Many Govt advisers have been from these companies, and encouraged these policies while in the Treasury or Number 10.
And for a bunch of MPs to lecture anyone on the morality of their earnings and financial affairs is unspeakably hypocritical.
Google are well within their legal rights to do as they have been. if the government want to earn more tax from large global companies, either change the laws of shut up. There are so many loopholes in the UK taxation system its untrue, i know a lot of small business and big business owners, who pay a hell of lot less tax than me on PAYE but earn a hell of a lot more.
MegaSteve
Tour Winner
If everyone [individuals and business] paid the right amount of tax then the basic rate would need be only about 15p and no need for any higher rates... Well something in that order...
