Google

Monday, November 12, 2012

Google- searching for ways to escape moral obligations, and legal obligations

BBC News - Starbucks, Google and Amazon grilled over tax avoidance: "ax haven
Like Amazon, Google also operates its European business out of a favourable tax jurisdiction - in its case the Republic of Ireland - according to Matt Brittin, who runs company's northern European businesses.
He openly admitted that the choice of Ireland was due to its favourable 12.5% corporation tax rate.
He also confirmed that the rights to the company's non-US intellectual property rights were owned in the tax haven of Bermuda, saying that the company had a duty to shareholders to minimise its costs.
He further freely accepted that until recently, the Ireland company was paying a fee to a separate Dutch company within Google, purely for the purpose of reducing its taxes.
Like the other executives, Mr Brittin insisted that nothing his employer did was illegal, prompting the committee chair, Ms Hodge, to say: "We're not accusing you of being illegal, we're accusing you of being immoral."
Google's UK unit paid just £6m to the Treasury in 2011 on UK turnover of £395m, according to the Telegraph."

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