Reply to post: Re: Tax Avoidance?

UK taxpayers funded Grand Theft Auto V maker to tune of £42m – while biz paid no corp tax and made billions

ratfox

Re: Tax Avoidance?

I assume this is the classical trick, where the UK-based business is paid like a third-party for the work they do, as if just any group of people picked from the street would create a product of the exact same quality.

What we see is that the creators of the game generating the income are British, and happen to be owned by an American company. What the accountants see is that the company producing the game is American, and have outsourced the work to a random outfit that they pay just enough to not go bankrupt.

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