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Google (Again) At Center Of Tax Avoidance Accusations

Newspaper's investigation points to $725 million sidestep

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Although it’s hard to predict the split between thank you notes and hate mail, Google’s accountants may be receiving a lot of letters over the next few days.  It looks like Google managed to avoid paying about $725 million in taxes in the UK last year.

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Back in April, The Sunday Times determined that Google saved itself $160 million in 2007 thanks to its practice of channeling revenues through Ireland instead of Britain.  More than a few people protested the shuffle, arguing that Google wasn’t playing fair.

Now, the objections have gotten more strenuous.  Vince Cable, the deputy leader of the Liberal Democrats, told Robert Watts, "Avoidance like this is hard to stomach at the best of times.  But when the country is in recession and everyone is feeling the pain, it really sticks in the throat – it means higher taxes for the rest of us."

Cable then continued, "Google’s reputation will be severely damaged if it continues to behave in this way.  It is ducking its social responsibility."

Google’s shareholders are sure to appreciate these maneuvers, however, and everyone agrees that the company’s actions aren’t in any way illegal.

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Google (Again) At Center Of Tax Avoidance Accusations
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  • matt

    This sucks, i really hate ito when google does stuff like this

  • http://www.lincguide.com Guest

    Google should setting an example, disgusting if you ask me.

    They are not putting the revenue back where it’s needed..
    They have ‘avoided’ paying enough tax to build TWO hospitals.

  • Guest

    What do you mean “when” Google does stuff like this? People need to wake up and smell the coffee. Google have been getting away with murder for years !

  • heyguy

    yes coffee has been my downfall…….but this is just one person…i am a very heavey drinker.,like every thing-way to addictive…some people who have lived a very rich american life are like that in one form or another like the internet me being baby…thinks everyone’s a freak!!!!!!untill i got out of the starting blocks and saw all your infinite albert einstien wisdoms!!!!!!!now i am crawling confessing ignorance…but only for a day a day in disneyland that is!!!!!!!in fact i am standing right next to captain eo!!!!!!!!!alive or dead!!!!god bless me with my survival means www.dinneronadollar.org..life style…….heyguy

  • Freedom

    That is there job. Avoid the extortion fees that is hard pushed on everyone by there local government. It does not matter how much money government receives, they will always find a way to spend more. Nobody can complain if they are doing it by the law. If I came up to you and said give me $100 or I will beat you up, would you give it to me. Yes you would if I had a gang behind me. This is how the government works, they don’t have to be fair. Google does the same thing, they have become so big that they will bully there way with businesses because they know they are needed.

    Human nature is not fair. Only way you can be sure you will be treated fair is by being more powerful than your opponent.

  • juust

    Next time the go-go-google white-hats start about ethics, I’ll reply with a link to this article :)

  • Ron P

    You know, all any government sees business for is CASH! And then what the government can do with it. I don’t care whether it’s the UK or the US or any other government: local, state/provincial, federal.

    When will the greedy politicians & bureaucrats who don’t create anything of value begin to understand that it’s NOT THEIR MONEY! It’s the owner’s of the individual capital’s money.

    Thank you Google for having the *alls to say “screw you” to the UK.