Quote:
Originally Posted by RainMaker
You've mentioned the corporation thing a couple times. Our rate is 35%. One of the highest in the world. How much more do you think they can raise them? Most of these companies have shifted their money overseas to avoid it. Wouldn't raising it more just do the same?
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Its not the 'base rate' of taxation which is important its the loop holes which allow them to shift their money to pretend that they don't need to pay.
You doubt this - look at Apple, their largest market is in America, yet they pay next to nothing in corporation tax ...
Last year they paid 9.8% taxation* - or under 1/3rd of what they should realistically have paid. They registered a profit of $13bn so that means they avoided paying approximately $3bn in taxes which they arguably should have ....
This situation isn't any different in other countries and similar things can be seen throughout the western world where clever accounting shifts profits artificially to low tax countries at huge detrimental cost to the actual countries where the corporations do business.
All governments need to do is close the loop holes which allow these artificial accounting manouvers .... its not like Apple is suddenly going to stop selling to their largest market because they are actually having to pay tax (nor can they threaten to move their production abroad like most politicians claim companies will do - after all 99% of them already have done so
).
*
Apple, Google, Amazon Pay Corporate Income Tax Well Below Official Rate