Amazon £7bn sales, but no tax! Should we boycott Amazon this Christmas?

Chickabiddybex

What annoys me is companies such as Starbucks make such a big fuss about Fair Trade (which is not legally necessary - they're just doing it to be "ethical") but then they go and do something like this and say "oh but it's not illegal!"

Personally I think a clever business would take advantage of this and use it as a marketing campaign, a "we pay all our taxes in the UK - shop with us!" type of thing.

Also, I hear a lot of people saying "but the prices would go up if they paid more tax!" but is that really true? Because in my experience, Boots and Starbucks are actually more expensive than many of their competitors. Some of whom pay full taxes in the UK!

x1x1

If amazon et al were forced to pay to pay these taxes, just remember it would be you that would end up paying it. Prices would increase, across the board. Spending would just end up lower, and growth would be further reduced.

Theres a reason companies like Amazon avoid tax, because they can. Remove that possibility and it wont be amazon (it's shareholders) that suffers...

Doc_N

Chickabiddybex wrote: »

What annoys me is companies such as Starbucks make such a big fuss about Fair Trade (which is not legally necessary - they're just doing it to be "ethical") but then they go and do something like this and say "oh but it's not illegal!"

Personally I think a clever business would take advantage of this and use it as a marketing campaign, a "we pay all our taxes in the UK - shop with us!" type of thing.

Also, I hear a lot of people saying "but the prices would go up if they paid more tax!" but is that really true? Because in my experience, Boots and Starbucks are actually more expensive than many of their competitors. Some of whom pay full taxes in the UK!

Absolutely right - all this stuff about lower prices is just a con. It's all about bigger dividends for shareholders.

x1x1 wrote: »

If amazon et al were forced to pay to pay these taxes, just remember it would be you that would end up paying it. Prices would increase, across the board. Spending would just end up lower, and growth would be further reduced.

Theres a reason companies like Amazon avoid tax, because they can. Remove that possibility and it wont be amazon (it's shareholders) that suffers...

See above - it's not about lower prices. It's all about higher dividends for shareholders. And the people who suffer from tax avoidance on this scale are those of us who rely on the NHS for our healthcare, and that of our children - NHS funding is being seriously reduced by the likes of Amazon, Starbucks and Boots.

Treevo

So do you all refuse to use British companies that have the same tax arrangements but in favour of the UK? If this is a moral stance then surely you should.

Chickabiddybex

I don't understand what you're asking. Can you please explain further? As far as I'm aware it is impossible for a British company to use the UK as a tax haven. Maybe that's not what you're saying?

Treevo

Chickabiddybex wrote: »

I don't understand what you're asking. Can you please explain further? As far as I'm aware it is impossible for a British company to use the UK as a tax haven. Maybe that's not what you're saying?

Then you don't understand what you're apparently outraged about.

Any company domiciled in the UK that sells to other EU countries is doing exactly what Amazon EU is doing, only for the benefit of UK PLC.

So if you are truly against Amazon EU's actions then you should be boycotting every company that does the same, regardless of whether the country is Luxembourg or the UK.

t3rm3y

i pay taxes on items that have already been taxed when they got here, made from products that were taxed. plus i am deducted tax from what i earn.
if i can buy an item cheaper anywhere then i will, whether its amazon or any other non tax paying corp.

Doc_N

Treevo wrote: »

Then you don't understand what you're apparently outraged about.

Any company domiciled in the UK that sells to other EU countries is doing exactly what Amazon EU is doing, only for the benefit of UK PLC.

So if you are truly against Amazon EU's actions then you should be boycotting every company that does the same, regardless of whether the country is Luxembourg or the UK.

That's just not so, is it? It depends entirely on whether profits are being manipulated to shift them artificially into a tax haven, such as Luxembourg. Boots are based in Switzerland for the same reasons, and are in the same league as Amazon, but you can't say that about most UK companies that export to the EU.

Amazon UK is using Luxembourg as a low tax haven for moving a large part of its profits, despite its being in any normal sense of the word a UK company. Luxembourg gains, at the expense of UK taxpayers and the NHS.

Can you really say that its ethical for Amazon to use this nonsense as a means of avoiding UK taxes:

Amazon.co.uk is the trading name for Amazon EU SARL, Amazon Services Europe SARL and Amazon Media EU SARL. This website (excluding the Amazon.co.uk Marketplace and MP3 Music Service) is owned and operated by Amazon EU SARL.

For Amazon EU SARL:
Amazon EU SARL, Soci!t! à responsabilit! limit!e, 5 Rue Plaetis, L-2338 Luxembourg
Share capital: EUR 37,500
Registered in Luxembourg
RCS Luxembourg No: B-101818
Business Licence Number: 104408
Luxembourg VAT Registration Number: LU 20260743

For Amazon Services Europe SARL:
Amazon Services Europe SARL, Soci!t! à responsabilit! limit!e, 5 Rue Plaetis, L-2338 Luxembourg
Share capital: EUR 12,500
Registered in Luxembourg
RCS Luxembourg No: B-93815
Business Licence Number: 100416
Luxembourg VAT Registration Number: LU 19647148

For Amazon Media EU SARL:
Amazon Media EU SARL, Soci!t! à responsabilit! limit!e, 5 Rue Plaetis, L-2338 Luxembourg
Share capital: EUR 12,500
Registered in Luxembourg
RCS Luxembourg No: 112767
Business Licence Number: 110001
Luxembourg VAT Registration Number: LU 20944528

Doc_N

t3rm3y wrote: »

i pay taxes on items that have already been taxed when they got here, made from products that were taxed. plus i am deducted tax from what i earn.
if i can buy an item cheaper anywhere then i will, whether its amazon or any other non tax paying corp.

You do that..........just don't be surprised when your local services (GP, hospital, library, road repairs etc) close down or get even worse because companies like Amazon, Boots and Starbucks decide they don't like contributing towards UK taxes.

Or when VAT, fuel and other taxes have to rise to compensate for the gap left by the likes of those three tax avoiders and their ilk.

Chickabiddybex

Treevo wrote: »

Then you don't understand what you're apparently outraged about.

Any company domiciled in the UK that sells to other EU countries is doing exactly what Amazon EU is doing, only for the benefit of UK PLC.

So if you are truly against Amazon EU's actions then you should be boycotting every company that does the same, regardless of whether the country is Luxembourg or the UK.

Wow, I'm not outraged! I'm not even boycotting Amazon. I don't think you fully understand the situation. The companies are making money in the UK and paying pittance in Luxembourg because their taxes are lower but they base their offices there. No one makes money in Luxembourg and then pays taxes in the UK.
Or some businesses set up a new company which they still own, but base it in Luxembourg and ensure its the only one making profit. If Starbucks puts a bean seller company in Luxembourg and then sell the beans to themselves in the UK for very expensive prices then they don't even make any profit in the UK to pay taxes on! It's all in the bean company they set up. In Luxembourg.
Please don't insinuate I don't understand what I'm talking about simply because you phrase your questions poorly and also please don't imply I am boycotting businesses I'm not or say I'm outraged when again, I am not. I'd really appreciate it