Google executives have been grilled by British lawmakers about the amount of tax they paid in the country. It follows a public outcry over corporate tax regulations which some say are unfair. Hayley Platt reports.
(REUTERS/PARLIAMENT TV) – Back in the hotseat.
And they weren’t disappointed.
Chairwoman of the Common’s committee Meg Hillier.
UK PARLIAMENT ACCOUNTS COMMITTEE, MEG HILLIER,
“Do you hear the anger and frustration out there that with those huge figures you settled for a figure of £130 million.”
Profits for the same period were just £106 million.
“You wrote a report after we appeared last time suggesting two things, one we should look at our tax structures which the HMRC has done and second, that we should pay tax proportionate to our UK sales. If those were the rules, that’s what we would do, but those are not the rules – the rules are, you should pay taxes on the profit on the economic activity which is at the heart of what HMRC looked at.”
It’s a legal loophole used by many multinationals.
Michael Hewson is from CMC Markets.
CMC MARKETS, MARKET ANALYST, MICHAEL HEWSON,