Taxman: "We think you should pay more tax"
Company: "We're paying what the law says we should pay. How do you plan to force us to pay more?"
Taxman: "Errrrr...."
Or, if the company is scared of
Taxman: "We think you should pay more tax"
Company: "Yes, we agree. How much more should we be paying?"
Taxman: "Great, let's look at the rules... now... says here you should be paying, err, the amount you are already paying... oh."
Thinking around the issue, though, the problem is that these foreign-owned companies are able legally to export their profits to low-tax regimes. So, there are two aspects to the issue:
- that these companies which serve great* coffee, provide such attractive Internet services, and are such efficient retailers are all foreign
- that there are other jurisdictions with much lower corporation tax rates
- No-one in the UK managed to set up a Starbucks, a Google, or an Amazon
- The UK has an attitude which is distinctly unfriendly towards entrepreneurs, reflected in high corporation tax rates and an angry mob who descend on anyone who isn't paying a "fair"** share
*allegedly
**defined as "an unspecified amount, more than you are paying now, and certainly more than I have to pay"
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