Starbucks pay no tax in the last 3 years

[bigmarco]

Less than 1% tax in 14 years.



http://www.bbc.co.uk/news/business-19967397

[lastlid]

Yes. I saw that. WOW.

[Dedworth]

I'm content not to spend my money on overated, grossly overpriced and oversized cups of coffee at Starbucks, Costa Lot, Nero or any similar establishments. Wetherspoons, McD's or Greggs suits both my pocket and palate.

[KeithD]

I don't have a problem with what they are doing, I run a small company and my accountant does the same legal 'tricks'. I haven't paid tax since 2007, and it's all accepted by the Inland Revenue as correct and lawful.

You have to remember they are still putting over £100 million in the last few years into the economy via PAYE, pension payments, NI, etc.

[lastlid]

My wife tends to prefer Starbucks. There is no Starbucks on the IOM (the island has resisted them, it seems) so when we are in the UK we go for her sake, as a treat.

[bigmarco]

I don't have a problem with what they are doing, I run a small company and my accountant does the same legal 'tricks'. I haven't paid tax since 2007, and it's all accepted by the Inland Revenue as correct and lawful.

You have to remember they are still putting over £100 million in the last few years into the economy via PAYE, pension payments, NI, etc.

Birds of a Feather.....

Costa Coffee paid 31% tax on their Profit as opposed to starbucks less than 1%.

[KeithD]

Costa Coffee is a UK company, and the corporation tax is only 20% so they need to sack the accountant . They would have paid below the 20% if they run the company correctly though, offsetting, leasing, etc.

Remember that a hell of a lot of companies have been running at a loss in the last 5 year period and so corporation tax is 0% anyway.

Most major UK bookmakers pay little or no tax as they have moved to Jerey or Gibraltar in the last 10 years, and a lot of other major UK companies. Vodafone paid £0 corporaton tax last year for one example, it is not unusual what Starbucks is doing, it is the norm with corporation tax. That is a problem with the way the tax works, not the companies.

Take Northern & Shell who own the like of Channel 5, OK magazine, etc, they have a number of subsidiaries that just lend money to each other to offest tax, perfectly legal.

The exact same thing happens in the US with corporation tax: http://www.businesspundit.com/25-cor...s-than-you-do/

[raynaputi]

My wife tends to prefer Starbucks. There is no Starbucks on the IOM (the island has resisted them, it seems) so when we are in the UK we go for her sake, as a treat.

I Starbucks! My everyday quick fix when I was working in Makati..even the baristas of the nearest Starbucks in our office know me so well and my preference, even giving me extra servings sometimes.. my former officemates tell me now that the baristas are always looking for me eversince I left..haha..

[lastlid]

I Starbucks! My everyday quick fix when I was working in Makati..even the baristas of the nearest Starbucks in our office know me so well and my preference, even giving me extra servings sometimes.. my former officemates tell me now that the baristas are always looking for me eversince I left..haha..

I think my wife's greatest wish is to have a Starbucks on the Isle of Man. I managed to get her a Starbucks t shirt on ebay last year.

[bigmarco]

Costa Coffee is a UK company, and the corporation tax is only 20% so they need to sack the accountant . They would have paid below the 20% if they run the company correctly though, offsetting, leasing, etc.

Remember that a hell of a lot of companies have been running at a loss in the last 5 year period and so corporation tax is 0% anyway.

Most major UK bookmakers pay little or no tax as they have moved to Jerey or Gibraltar in the last 10 years, and a lot of other major UK companies. Vodafone paid £0 corporaton tax last year for one example, it is not unusual what Starbucks is doing, it is the norm with corporation tax. That is a problem with the way the tax works, not the companies.

Take Northern & Shell who own the like of Channel 5, OK magazine, etc, they have a number of subsidiaries that just lend money to each other to offest tax, perfectly legal.

The exact same thing happens in the US with corporation tax: http://www.businesspundit.com/25-cor...s-than-you-do/

I don't disbelieve a word of it.
In a nutshell you have explained to me what I firmly believe is wrong with our society today. Austerity for the working man and Tax exemption for the fat cats.
We just look at things a different way. I was just reading yesterday that they were accessing peoples SKY bills to catch benefit fraudsters. I dont disagree with this but they say it's about £250million a year. I just thought that's probably less than what Murdoch/SKY avoid paying the tax man every year.
I understand these are the rules in place but cannot see it being right that a company has paid less than 1% on a £Billion pound over 14 years.

[joebloggs]

same as amazon, earlier this year as posted on this forum..

http://www.dailymail.co.uk/news/arti...K-2-years.html

[lastlid]

Just seen the Starbucks CEO on TV who says that they have been operating at a loss in the UK, hence the low amount of taxes paid.....


http://www.bbc.co.uk/news/business-20008350

[KeithD]

...and that means when they do eventually make a profit they still pay no tax until they have offset all the losses.

[lastlid]

Starbucks. In the news again.

I can remember about 2 decades ago, my American employer making less money on paper as they found a way of dissipating their profits through inflated charges and rentals for supplies from within the company from the USA. Thus making much less profit on paper than they were really making in practice. I would guess that they paid less UK tax that way.

I see Google and Amazon are included also.

[KeithD]

I need to start looking at Win2Win (Ireland) Ltd

[lastlid]

Vince Cable attacks corporate 'tax abuse'

http://www.bbc.co.uk/news/business-20384428

[KeithD]

The problem is that the present tax laws are based around bricks and mortar companies in the UK, and were never designed for the fact that around 50% of business is now done on the internet.

Either they need to rewrite the tax laws which will be very complicated, or add a 1% Sales Tax at point of sale. That would be great as it would then mean each consecutive government could increase it bt 0.5% and in the year 2100 we'll have a 20% Sales Tax

[Dedworth]

Looks like EU Tax Authorities are homing in on Amazon and the other slippery tax dodgers :-

But the good times may be ending. Tax authorities across Europe are investigating Amazon, and it could end up with a tax bill of up to £1 billion.

Amazon EU Sarl’s accounts say: ‘It is reasonably possible that the company will receive tax assessments from various tax authorities in the future that may or may not ultimately result in payments of additional taxes.’

Tax advisers say the statement goes well beyond what would normally appear in company documents and that it suggests the company is already facing questions from tax authorities around Europe.

http://js.dailymail.co.uk/money/mark...ntingPage=true

[lastlid]

Starbucks outperformed by lay-by sandwich van

"According to figures submitted to Companies House, Pete’s Baps, who’s base is in a lay-by just off the M4, reported greater profits than Starbucks for the third quarter of the year."

http://www.newsbiscuit.com/2012/11/1...-sandwich-van/

[Arthur Little]

On the subject of Tax Evasion, Panorama seemingly goes undercover tonight at 8.30 in an investigation into Corporate Service Providers ... the people and Companies who sell corporate anonymity and access to offshore tax havens.

Should be interesting!

[Dedworth]

Boris steps into the ring !

Boris Johnson: taxing mansions while Google pays nothing is 'absurd'

Boris Johnson branded Vince Cable's plans for a mansion tax 'absurd' when companies like Google are paying nothing.

http://www.telegraph.co.uk/news/poli...is-absurd.html

[andy222]

Boris has got a point. But they need to close the loopholes on these tax evaders.

[lastlid]

On the subject of Tax Evasion, Panorama seemingly goes undercover tonight at 8.30 in an investigation into Corporate Service Providers ... the people and Companies who sell corporate anonymity and access to offshore tax havens.

Should be interesting!

Thats strange as it says for tonights Panorama:

"WHO'S WATCHING THE DETECTIVES? - PANORAMA"


Presumably it is regionally different.....

[lastlid]

Starbucks in talks with UK's Revenue and Customs

"Global coffee chain Starbucks has said it is in talks with HM Revenue and Customs and the Treasury over how much UK tax it pays.

http://www.bbc.co.uk/news/business-20573208

[bigmarco]

Have noticed a bit of an online campaign against Starbucks particularly on Facebook. Nothing like bad publicity to embarrass these greedy to get their chequebook out.

[Dedworth]

Shysters

[lastlid]

Starbucks agrees to pay more corporation tax

http://www.bbc.co.uk/news/business-20624857

[bigmarco]

20 million over 2 years well that's very generous of them. They've only offered because their image has taken a bashing.
How about we don't accept their offer and instead close the loopholes they use and tax the of them

[Dedworth]

What a bunch of shysters Starbucks are - just seen their UK top man (a septic) wriggling and trying to deny that they make profits in the UK when their 2011 US annual report says In particular, our Canada, Japan,UK, and China MBUs account for a significant portion of the net revenue and earnings of our international operations

See this link for the video of the guy - comes out with all the big company BS about we've listened to our customers etc

http://news.sky.com/story/1021646/st...-10m-climbdown

I hope this campaign of boycotting them takes off. It won't affect me as I'm not mug enough to pay £3 for a cup of coffee at Starbucks, Costa Lot, Nero's etc

[bigmarco]

I hope this campaign of boycotting them takes off. It won't affect me as I'm not mug enough to pay £3 for a cup of coffee at Starbucks, Costa Lot, Nero's etc[/QUOTE]

Yep I agree Ded keep up the Boycott. Never understood the £3 a cup myself. Used them once in my life at the airport for a cup of tea. Tasted like never spent a dime there since.