Tech giants inflate stated tax payments !
Six of the biggest US tech firms have been accused of inflating their stated tax payments by almost $100bn over the past decade. A report by the campaign group Fair Tax Foundation says Amazon, Facebook, Google, Netflix, Apple and Microsoft paid $96bn less in tax between 2011 and 2020 than the notional taxation figures carried in their annual financial reports. The report says the firms have paid $219bn in income tax over a decade, 3.6% of their total revenue of more than $6tn. The Fair Tax Foundation calculates that the firms handed over $149bn less to global tax authorities than would be expected if they had paid the headline rates where they operated. Foundation chief executive Paul Monaghan said the analysis provides "solid evidence that substantive tax avoidance is still embedded within many large multinationals and nothing less than a root and branch reform of international tax rules will remedy the situation". He added that US President Joe Biden’s proposed 15% minimum corporation tax rate could help put an end to big companies "profit-shifting to tax havens", adding that the mooted reform has "lit a fire" beneath international debate on taxation.