Reply to post: Not just the UK - same problems in Australia

Google UK coughs up £130m back taxes. Is it enough?

DesktopGuy

Not just the UK - same problems in Australia

The big issue is multinationals get to shift money around intracompany.

I have run my own company for 18 years and I pay more corporate tax as a percentage than these multi-nationals.

The only way a small business (which is the largest group of employers in Australia) to reduce their tax burden is to create 3 companies in different countries and start this transfer pricing/licencing crap.

How the hell are any small/medium businesses expected to ever compete with entrenched larger multi-nationals when the playing field is so skewed against them.

The sole reason for a business is to make money - that's even included in the tax code in Australia.

If you have a business that never makes any profit and all money goes as fees to another group company than you are NOT conducting a business.

You can spend your way out of corporate tax by investing in the country you are situated.

This includes building offices for R&D and employees, charitable causes etc… but if all your money goes in fees to a group company then you should have your business registration cancelled.

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