Michael Meacher really is ignorant

That this House notes the increasing ease with which multi-national corporations are shifting substantial profits from high tax to low tax jurisdictions, even to the point of eliminating their tax liabilities in countries where they make huge sales, as instanced by Starbucks which has not paid any tax on its £1.2 billion UK sales in the last three periods for which accounts are available;

1) Companies do not pay tax on their sales. Consumers do pay VAT on their purchases.

2) Companies never carry the burden of taxes.

3) Has the ignorant tosspot never heard of business rates?

6 thoughts on “Michael Meacher really is ignorant”

  1. “Michael Meacher really is ignorant”

    No he isn’t. He’s just written another page of the tax avoidance narrative. This one in Hansard.

    It’s a fairy story. It doesn’t have to be true.

  2. Dog-whistle politics aimed at voters that aren’t interested in anything other than having their prejudices validated.

  3. Fairly obviously Meacher is talking about Starbucks not paying corporation tax despite having very substantial UK sales. That’s made clear by the rest of the text which asks for government investigation of the exaggeration of allowable costs.

  4. Paul
    Here’s the first 3 1/2 lines of the text you quoted:

    “That this House notes the increasing ease with which multi-national corporations are shifting substantial profits from high tax to low tax jurisdictions, even to the point of eliminating their tax liabilities in countries where they make huge sales, as instanced by Starbucks which has not paid any tax on its 1.2 billion UK sales in the last three periods for which accounts are available…”
    Rest widens the field to other companies.
    See anything about the 1/4 billion VAT liable on that lot? PAYE & NI take? Business rates?

    It’s headline fodder. Don’t get the Beeb here. (Don’t get it UK for that matter) In the news yet? Murph been interviewed?

  5. bis: No, there’s nothing about VAT there. Because, as someone said, “Companies do not pay tax on their sales. Consumers do pay VAT on their purchases.”

  6. “to grant HM Revenue and Customs powers to declare null and void any such transactions which have no genuine economic purpose but are simply designed to avoid tax”

    This is, of course, a matter on which objective judgement is always and will always be applied. There is no chance whatsoever that giving such broad powers to HMRC could be a bad thing.

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