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Amazon to pay more tax in UK

Amazon to pay more tax in UK and EU

Amazon to pay more tax in UK

Amazon to pay more tax in UK and EU  

Amazon, the large multinational online retailer, has started paying more tax in UK and EU after the EU began to mount pressure on tax avoidance for large multinational companies.

This has stated after the UK implemented the so-called "Google Tax" last year in order to reduce the number of multinational companies which used tax avoidance methods in order to pay less tax.

Until now Amazon recorded all of it's EU and UK transactions in Luxemborg, which required them to pay less tax than if they had been recorded in their origination country. Now with Amazon records all UK based sales in their UK branch, forcing them to pa the correct UK tax on all purchases.

 

Amazon has since released this statement;

“We regularly review our business structure to ensure that we are able to best serve our customers and provide additional product and services. More than two years ago we began the process of establishing local country branches of Amazon EU Sarl, our primary retail operating company in Europe."

“The local country branch for the UK became official on May 1st and Amazon EU Sarl is now recording retail sales made to customers in the UK through the UK branch. Previously, these sales were recorded in Luxembourg."

 

Amazon to pay more tax in UK  

For a long time it has been popular for companies to create a complex business structure in order to minimize tax and therefore maximize profit, but with the current economic landscape many nations have began clamping down on such methods in order to gain their rightful tax revenue and be able to reduce the burden of taxes on the people of their respective nations.

It is undoubtedly a good thing that large companies are now being forced to pay their taxes in a more legitimate fashion, but right now it is unknown if Amazon will pass on this additional tax burden onto their users. 

 

You can join the discussion on Amazon now paying more UK tax on the OC3D Forums. 

 

 

Amazon has started paying more tax in UK and EU as pressure begins to mount on tax avoidance.http://www.overclock3d.net/articles/misc_hardware/amazon_to_pay_more_tax_in_uk/1

Posted by OC3D on Wednesday, 27 May 2015
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Most Recent Comments

27-05-2015, 16:37:52

3DJF
About muther EFFING time! It's absurd how even the press release makes it sound like they just happened to use Luxembourg for European sales..... not that it's a tax haven and every company wanting to avoid tax has a "EU headquarters" there.....there are more companies listed in Luxembourg than there are PEOPLE in Luxembourg.Quote
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