Home Business Tax Campaigners Now Against Global Tax Deal

Tax Campaigners Now Against Global Tax Deal

Author

Comments

This is simply joyous:

George Turner, director of TaxWatch, said: “It seems to me this is a good deal for the US, they get to tax their multinationals more, and they get to protect themselves from companies trying to [go] offshore by making it a global deal.

“The fact Facebook and Google end up paying less tax in the UK under this deal is controversial, I don’t think you can get away from that. It wasn’t the aim of the whole game.”

Well, yes, and the US already got that deal as a result of the Trump tax changes. Non-repatriated profits now pay tax in the US. The aim and point of all that movement between Ireland and Bermuda – just to use one example – has now rather gone. But of course everyone in this game must, just must, insist that Trump didn’t solve the problem they all make their livings from.

It’s this bit that’s so fun:

Experts have warned that US tech companies, including Google, Amazon and Facebook, could pay less tax in the UK and several other big economies under global reforms agreed at the weekend by the G7.

In a key stumbling block emerging days after the landmark deal, research from the TaxWatch campaign group indicates that the UK Treasury stands to lose about £230m from the taxes paid each year by four of the big US tech firms.

Isn’t that interesting? So, under a fair and global deal – which they’ve all been touting this reform as – the Big Tech companies would pay less in the UK than they do now. Hmm, OK.

That therefore means – ineluctable logic here – that the current deal must be unfair because they’re paying £230 million more than they should be.

Which does of course mean that we’ve got to change that taxation system – can’t have one that’s morally unfit now, can we?

SUPPORT US WITH A SUBSCRIPTION?

5 COMMENTS

  1. There’s a reason why “be careful what you wish for, you might get it” is an idiom in many languages. I guess some people have to learn the hard way.

  2. The share prices of the target companies shown no discernible reaction to the news, so maybe it’s just hot air…

    • AIUI (probably not well), it is (since Trump’s tax reforms) largely an argument about where and to whom taxes must be paid, not about how much.

  3. It was obvious even to me, who know nothing, that if someone got more, others would get less. The thought that the people pushing for change know even less than I do is a trifle alarming.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

expunct

in British English
expunct (ɪkˈspʌŋkt)
VERB (transitive)
1. to delete or erase; blot out; obliterate
2. to wipe out or destroy

Support Us

Recent posts

American Hyperconsumerism Is Killing Fewer People!

This report does not say what the Guardian headline writers think it does: Three Americans create enough carbon emissions to kill one person, study finds The...

Contracts Often Lag New Revenue Streams

I've been - vaguely and not with any great interest - anticipating a story like this: Scarlett Johansson sues Walt Disney over Marvel’s Black Widow...

Richard Murphy Rediscovers Monetarism

We have a delightful example of how Richard Murphy simply doesn't understand the basic nuts and bolts of the economics he wants to impose...

Vox Is Missing The Point About Having A Constitution

Not that we should be all that surprised by this from the progressives at Vox. No government- well, no one not controlled by...

So Let’s Have An Elitist Technocracy Instead!

There's been a certain amount - OK, a lot - of squealing in the US about how democracy is the ultimate value and we...

Recent comments