Google Faces huge Tax Avoidance fine!

[Sam1]

http://webmasterdaily.net/google-fr...x-noncompliance-google-denies-the-accusation/

They're facing a $1.3 billion fine in France basically cause of these numbers:

Revenue in France in 2011: €138 million
Revenue in Ireland in 2011: €12.4 billion
Profit in Ireland in 2011: €9 billion
Tax in France in 2011: €5.5 million
Estimated tax in France for 2011 according to the DGF: €150 million

Thoughts?

 

[Jordan]

Probably just another government scheme to get more money. A fine of 1.3 Billion for something they only made 138 million of.

Big companies always use strategies to cut down there tax cost, but they are all legal ways. Some even loop holes.

 

[Sam1]

Probably just another government scheme to get more money. A fine of 1.3 Billion for something they only made 138 million of.

Big companies always use strategies to cut down there tax cost, but they are all legal ways. Some even loop holes.

You can call them legal (they are currently) but if you make money in a country shouldn't you pay tax on it? I mean, smaller operators don't have that advantage. In NZ we have a lot of SMEs (small/medium enterprises) who wouldn't be able to lower their tax in that way which hurts them when they compete with companies which do.