Amazon £7bn sales, but no tax! Should we boycott ...

[jap200]

I run a small limited company - just me - no employees, and I pay £15,000 to £20,000 corporation tax each year, which is 20% of my profits. I would rather keep the lot, but I don't because tax is a fact of life which keeps this country going.

However, Amazon made £7bn profits in the UK last year (allegedly) and managed not to pay any UK corporation at all. Is this fair? I think not!

Read the full story here: http://www.guardian.co.uk/technology...orporation-tax

It has become all too easy just to click and buy from Amazon and I am guilty of it probably several times a month. But I have decided to try and have an Amazon-free Christmas this year. It won't be easy...Black Friday is coming up...but it just doesn't seem fair that they can take such a large slice of sales in the UK without putting anything back.

Anyone want to join me? We are going to have to work just that little bit harder to match or beat Amazon prices on what we want to buy.

[topsales]

Stupid idea!!!

[adxm]

no matter how much you 'resist' amazon they will still be making millions upon millions of profit regardless

Originally Posted by topsales

Stupid idea!!!

agreed

[svince80]

I too read this story and decided to stop using Amazon. It will mean that I will need to spend a little more time shopping for Christmas presents this year, but I'd rather do that than support a company which thinks it's OK to get out of paying tax with some loopholes. Hopefully it'll mean supporting more small businesses too.

[sortika]

I have also stopped using Amazon - often it just takes a little extra work to find an alternative, and even if it's only a small amount of people, it still adds up.

[jap200]

Originally Posted by adxm

no matter how much you 'resist' amazon they will still be making millions upon millions of profit regardless


agreed

I have no problem with them making millions of £ in profit - that it the point of running a business. What I am against is their failure to pay any corporation tax in the UK.

Whilst I agree that the loss of my purchases from Amazon is a meaningless drop in the ocean to them, by registering my view on a high profile consumer website like MSE I hope to raise awareness and maybe even get people talking about it.

MSE has moved mountains in the past - never underestimate the collective power of public opinion!

[DUKE]

Ain't that the reason why they can keep their prices down?

[jap200]

Originally Posted by DUKE

Ain't that the reason why they can keep their prices down?

Well no doubt it is a contributory factor, but that still doesn't make it right in my opinion. Why should I, as a small business owner, pay 20% corporation tax, but not them?

[xanthe]

I think Boots and Vodafone also do it?

I might go with the idea of boycotting Amazon.

[POPPYOSCAR]

I am torn I should boycott them but.....

I do feel a bit like a hypocrite as I love the upcoming black friday deals - it is just good fun.

I also have gift certificates with them from Topcashback to spend.




It really is for the government to crack down on this with all the companies.

[poet123]

It is just so easy to shop that way.....sheer laziness I suppose. Although I do think the OP has a very good point. Will I do it? Probably not.

[comeandgo]

They are not doing anything illegal. Its called business planning. Jap200, do you take a small wage and the rest in dividends to limit the amount of income tax you pay? Most directors I know do.

[FrugalFranny]

Personally, I love Amazon.
the tax issue I can understand with a shop like st*rBucks as there are an actual shop with tills, tables and all that gubbins. They take up space on the high street and force other smaller shops out.....but Amazon?
A bunch of warehouses that you can't walk into, physically browse and then buy on the spot from is another matter in my opinion.
YES, they squeeze the high street shops, but that's not a bad thing sometimes, and not everyone is willing to rely on internet companies to safely deliver gifts for important events. A lot of people simply won't buy important gifts over the net as they can't pick them up and have a closer look. Who wants to risk buying their OH/mother/father/kids/favorite stalker something that turns out to be lower quality than expected?....it'll only happen once!

So "boo hiss!" to St*rBucks, and "Yes please!" to Amazon.

If the internet went "fizz fizz bang!" tonight and was no more, apart from a few boxes with their name on them, where would they be?

GONE

(yes I know we have 'drop off points' and 'lockers' coming in....but how do you buy things from them without the internet?.....Not even a catalog.....)

[Casperthefriendlyghost]

I use play.com because they don't charge postage so don't use amazon much anymore anyway.

Casper
xx

[I luv cats]

I seem to spot s.a.r.l on many businesses I deal with.

There would need a lot of boycotting to be done!

[Casperthefriendlyghost]

..... and I love Starbucks! Will never ever boycott them ;o)

*Sorry*

Casper
xx

[jap200]

Originally Posted by comeandgo

They are not doing anything illegal. Its called business planning. Jap200, do you take a small wage and the rest in dividends to limit the amount of income tax you pay? Most directors I know do.

Obviously Amazon are not doing anything illegal, but avoiding paying any tax at all - as for others such as Starbucks etc. is surely just playing the system too far.

Yes I do take a small wage and the rest in dividends, but the dividends are taken AFTER 20% corporation tax is paid on the profits. This means that I are not liable to pay income tax on the dividends unless it takes me into a higher rate tax bracket, but that is only because the tax has already been paid - as corporation tax rather than income tax.

I expect that Amazon has plenty of workers on low wages who then claim tax credits etc. Where does the money for these tax credits come from? It comes from taxes paid by workers and companies.

Amazon also relies on the infratructures such as roads to get their goods to customers. Where does the money for roads etc. come from? It comes from taxes paid by workers and companies.

None of us like paying tax, and there is certainly nothing wrong with minimising our tax liabilities, but avoiding paying tax altogether when making such huge profits is just morally wrong.

Having said all that, I will probably also fail to avoid Amazon altogether this Christmas, but I'm going to try and push them out of first place on my shopping list.

[john1]

France seeks over $250 million in back taxes from Amazon.
Google is also under audit by the French tax authority regarding its structure, which channels sales through Ireland, but the company denied a newspaper report last month that it had received a back tax claim for 1 billion euros.




http://www.france24.com/en/20121112-...n-dollar-claim




Amazon currently on BBC Parliament at the moment

[grintricha]

yes stop buying from them, it's the only way they'll notice

Thatcher killed this country and gave you one power, that of a consumer, use it, it's not much of a power but it's all we have left.

[beautybutterfly]

Sorry, i'd never commit to boycotting someone like amazon, they have too many good deals and not using them doesn't benefit me in any real way, shape or form... same with starbucks, I love their coffee too much!