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Amazon, Google and Apple Won't Need To Pay Tax, Despite Goverment Threats

girlmad writes "Despite moves by government to get Google, Amazon and Apple to admit they make sales in the UK and US, and therefore should pay tax on these earnings, this article argues these are empty threats and that any taxes paid will get returned to the tech giants in government grants and subsidies. Tough luck to the small firms out there."

327 comments

  1. Remind me,,, by MitchDev · · Score: 3, Insightful

    why class warfare is alive and well and why everyone hates the government so fucking much?

    1. Re:Remind me,,, by Anonymous+Brave+Guy · · Score: 5, Insightful

      Not everyone hates the government. The executives of big companies are actually so fond of them that they even take their government chums out to expensive restaurants and parties on their private yachts.

      It's just the poor people who hate the government, because they're all nasty and poor and horrible.

      And the middle classes, whose tax money is going on unpopular schemes like wars and helping poor people.

      Oh, and the professionals/entrepreneurs, because after years of hard work, sacrifice and risk-taking that will stop many in their tracks, those who do succeed are then considered "rich" and taxed sharply, while the people who are actually rich have enough mobility to avoid those same high taxes, which is why the very high tax rates don't actually raise much money for the government anyway.

      --
      If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
    2. Re:Remind me,,, by Sponge+Bath · · Score: 4, Funny

      It's just the poor people who hate the government, because they're all nasty and poor and horrible.

      Arthur: Bloody peasants!

    3. Re:Remind me,,, by ebno-10db · · Score: 4, Insightful

      Remind me why class warfare is alive and well and why everyone hates the government so fucking much?

      Because a key tactic in class warfare is the 0.01% getting the government to do their bidding.

    4. Re:Remind me,,, by Anonymous Coward · · Score: 4, Insightful

      Oh, and the professionals/entrepreneurs, because after years of hard work, sacrifice and risk-taking that will stop many in their tracks, those who do succeed are then considered "rich" and taxed sharply, ...

      I really don't put Mark Zuckerberg and all the other "professionals/entrepreneurs" in that category.

      And everyone works hard, takes risks and sacrifices. Everyone. It's just a question of what to sacrifice.

      I have a relative - one of those "professionals/entrepreneurs" - as he puts it, "I worked 30 years and had a few lucky breaks to achieve my 'fame' (that's the way he put it)"

      He's also on his third wife and a few screwed up kids.

      Unfortunately, for every "success" story, the people don't realize that there are thousands of others who did exactly the same thing but failed; sometimes to ruinous consequences. And yet folks point to the few successes and say "look! anyone can do it if you just had the gumption!' Like everyone who's failed wasn't worthy; and everyone who's succeeded did so because they were worthy of said success.

      Are you going to tell me that someone who just happened to be at the right place at the right time is a success because of his hard work?

      That's an insult to those out there who are truly working their asses off and taking risks.

      And the "professionals" you mention. You mean doctors? They take no risks. If you are lucky enough to have been born with the talents to do well (No matter how hard I worked, I couldn't pass Organic Chem.) in that field, you are pretty much guaranteed a nice lifestyle. It's no coincidence that MDs are always on top of the lists of highest paid professions. It has nothing to do with brains because if that were the case, then Physicists would be on the top.

    5. Re:Remind me,,, by lightknight · · Score: 4, Informative

      Simple really: things look as different from the bottom as they do from the middle and the top. Your poor hate being poor, your middle class are typically striving to make it up another rung, and your rich don't want to fall from their perch. Your poor work with the idea of 'making it,' so that they can be free of the mentality of being poor, as well as the belief that with moving up the ladder means less problems; it does not, it just means different problems. When you're poor, you think as soon as you get another $10K, you'll pay back all your friends, be extra nice, relax, etc.: the reality is, when that $10K comes, your friends will find you, and any voluntary remembrance for their aid becomes an involuntary shakedown, during which the worst of humanity is shown to you. The middle class want to move up, going from middle middle class to upper middle class, or whatever; they try to curry favor on both sides: they want rich friends, the right connections, etc., but they also want to 'remember where they came from' with the poor, as some sort of pride of having worked their way up. The rich want to avoid becoming poor or middle class; it's one thing to be down several million from the fortune you inherited, it's another to not be able to afford to visit Europe whenever the whim strikes you.

      Each class has certain 'requirements' as far as being a part of it. This is why someone who acquires a fortune through a lottery is not suddenly thought of as being a part of the upper class; chances are, that money will be gone in a few year's time, and no attempt at understanding the change in class occurs.

      As for why everyone hates the government, why, that's simple: your host government is typically the one wielding the most amount of power over your life (save yourself, or your deity), and as such, is the scapegoat for everything that does wrong in your life during your day, from the stubbed toe you got rolling out of bed, to the parking ticket you received. He who has the power, gets the blame! It sucks, but it seems to hold true. Heck, the upper class has worked for ages on how to displace power from blame...that's why you have 'management' running companies, instead of the owners themselves. And their successes have been...somewhat lackluster, to be honest. Lately they've been getting nailed for it...see how many companies have gone tits up, and how the political class is basically losing any semblance of currency with the populace.

      --
      I am John Hurt.
    6. Re:Remind me,,, by iserlohn · · Score: 3

      But that is no excuse to get rid of government. The focus should be to rid government of vested interests.

    7. Re:Remind me,,, by flyneye · · Score: 1

      It would be nice to see these entities seized by the IRS and large parts sold off to their competitors. That would certainly stop such huge grants and subsidies in favor of smaller ones spread out. Then your horrible poor and middles could fill the new positions and enjoy the revenues spread amongst their communities.
      With the previously owned bits spread out, then we will see some innovation flourish because the new humbled titans will have to do something for US today to stay in the race. Your rich professionals/entrepeneurs will move along to THE NEXT BIG THING. Maybe, even at one of the companies owning a piece of their ass.
      There are many possibilities of just what could happen, I doubt anything ever happens as straight forward and predictably as you set forth.Too textbook.

      --
      *Repent!Quit Your Job!Slack Off!The World Ends Tomorrow and You May Die!
    8. Re:Remind me,,, by VortexCortex · · Score: 2

      why class warfare is alive and well and why everyone hates the government so fucking much?

      You have few real options other than 401k... Which is basically a life raft for the stock market and corporate controlled tax racked / devaluation weapon all rolled into one. Moo. You're being farmed.

    9. Re:Remind me,,, by Capt.+Skinny · · Score: 3, Insightful

      It would be nice to see the IRS threatened mafia-style for gouging the rich just "because they can afford it." I'm sure the poorest of the poor would consider the middle class as being able to afford a near-40% marginal tax rate on their earnings, because relative to them, the middle class is "rich." But the middle class would beg to differ, and would argue that millionaires should pay huge tax bills. They fail to recognize the hypocrisy in taking that position.

    10. Re:Remind me,,, by Anonymous Coward · · Score: 1

      Corporate taxes do not make economic sense because they don't pay the taxes, you do. They come out of your salary, you retirement plan and directly out of your wallet every time you buy something. Corporate tax doesn't take money away from the "big bad corporations" and their rich CEOs, it takes money away from you. It also makes our good and services more expensive in the global market.

      People seem to think you can just turn a knob and increase corporate taxes and all the money will magically drain out of the pocketbooks of the top executives and major shareholders and that is an extremely naive view. This isn't a fringe view either, it's widely accepted by economists that corporate taxes are inefficient and distortionary. Here is a better explanation than I can give http://www.econlib.org/library/Enc/CorporateTaxation.html

    11. Re:Remind me,,, by Anonymous+Brave+Guy · · Score: 3, Interesting

      Just to be clear, I'm looking at all of this from a UK perspective.

      There are some professions that are very well-paid, if and when you make it to the higher levels. You mentioned doctors, so let's consider that. Those hospital consultants and GPs who are earning a tidy living at 40 were probably junior doctors at 25. Maybe it's different in the US, but in the UK that means working around twice as many hours as most of us do, severely limiting social life and relationships and several years, and getting paid a fairly feeble wage, certainly far less than anyone with the drive and aptitude to become a senior doctor later could be earning in another field. Even when they become senior doctors, these are people who may be charged with making decisions that are literally life and death, and a lot of them are still working pretty long hours with all the admin that comes with those jobs on top of their clinical work. I don't think paying those people a high wage is at all unreasonable in return for all they did earlier in their lives to get there and in recognition of the skill and experience that they possess as a result. If you want an insult, bundle people like that in the "rich" pile with movie stars, celebrity sportspeople, and old money inheritors who might never have put in an honest day's work in their lives.

      As for the entrepreneurs, you're quite right that it's a big risk and many people lose even if they do nothing wrong, but I think it's laughable to pretend that "everyone" works as hard and takes the same level of risk and makes the same level of sacrifice in life. Anyone who is bootstrapping a new business is probably giving up a lot that they could have had and done in order to get that business going, and even if the business is successful it will be paying tax itself and probably contributing to the economy by employing further people before it pays out any big profits. Again, it seems crazy to me that we might look at someone who has maybe risked all their savings, delayed having a family, learned a multitude of useful skills, basically given up a few years of their lives to get a business going, and then if their business is successful still begrudge them earning even 2-3x what they could easily have made in a regular day job. And yet, that is where the top tax rate in the UK kicks in at the moment.

      --
      If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
    12. Re:Remind me,,, by peragrin · · Score: 3

      Here is the trick no one earning over a million dollars annually is actually paying the 35% tax rate. The ones who get screwed are the ones earning more than $250,000 annually but less than a Million.

      Ideally the thing to do is to tax investments that last less than an hour at 50%. Right now if you look at wall street the country is experiencing double digit growth. As wall street is supposed to be based on the fundamentals of the companies. it becomes surprising that the companies in question are experiencing at best moderate growth of 1-3%. The rest is the HFT and day trading that bankers love. It does add some liquidity to the market but HFT

      Lastly the rich The top 10% of the country controls 75% of the wealth that means they should be paying for 75% of the tax bills but in reality are only paying 50%.

      --
      i thought once I was found, but it was only a dream.
    13. Re:Remind me,,, by BasilBrush · · Score: 3, Insightful

      Ah, the logical disfunctionality of the anarcho-capitalist. Multi-national corporations play off different countries governments against each other so they end up paying little tax. And somehow that's the government's doing wrong, rather than the the multi-national corporations.

    14. Re:Remind me,,, by ebno-10db · · Score: 1

      But that is no excuse to get rid of government.

      Agreed, but I don't think my post suggested otherwise.

    15. Re:Remind me,,, by Anonymous Coward · · Score: 0

      The corporations/entities are just exploiting the system as they are supposed to, as humans are supposed to. It's illogical to think that statism is the only way to control that behavior simply because it's been proven wrong time and time again. The only reason statism perpetuates itself is because illogical twats like you couldn't be bothered to see what's staring you in the face. In the meantime, you somehow think it's oh so noble and altruistic of you to steal everyone's money to promote your own little collectivist version of what's "right" and "moral". Hypocrite.

    16. Re:Remind me,,, by Poorcku · · Score: 1

      We pay taxes to the government. We expect services in return. If this government is unable to return the services we pay for, then yes, it the government doing wrong not the corporations. The government is invested with POWER by the people. It should very much exercise that power.

      Those anarcho-capitalists want a small and powerful gov. not a big and weak one.

      --
      I take my children to see Madonna(..), but I never for once ever thought I was in the same business.Chris Rea.
    17. Re:Remind me,,, by dryeo · · Score: 1, Insightful

      Personal taxes do not make economic sense because they don't pay the taxes, the corporations do. The corporations have to pay higher salaries so people have the same take home pay so corporations have to charge more.

      --
      https://en.wikipedia.org/wiki/Inverted_totalitarianism
    18. Re:Remind me,,, by JaredOfEuropa · · Score: 3, Insightful

      Wow, I'd like a 35% tax rate; ours in NL starts at around that percentage, and goes up to 52%... with that upper bracket kicking in real fast at around €55.000 taxable income. Then there's 21% VAT, municipal taxes (increasing faster than our significant yearly inflation), road tax and the tax on petrol (2/3rds of the price at the pump is tax), the list goes on... Kind of sucks though that here the same thing applies to businesses as well: the large ones can negotiate a low rate, the small ones get stiffed. My business gets taxed at 20%, and on what I take out I pay an additional 25% dividend tax. The big guys? They pay little, it's for good reason that so many international corporations set up their Euro HQ in the Netherlands. And guys like Bono (U2) are doing the same thing.

      I suppose it is the same all over: poor people or businesses have little money to tax, and the rich/large ones make sure their interests are mobile: tax them too much and they'll up and leave. It's the ones in the middle who get screwed.

      --
      If construction was anything like programming, an incorrectly fitted lock would bring down the entire building...
    19. Re:Remind me,,, by BasilBrush · · Score: 1

      This story has nothing to do with governments providing services. Why are you trying to change the subject?

    20. Re:Remind me,,, by XcepticZP · · Score: 1

      What a lame retort. The person you initially responded to already made the conversation about governments. Thus, this whole thread is a response to that, and has nothing directly to do with the article. The fact that all you can do in response is to restate the obvious is quite telling.

    21. Re:Remind me,,, by Anonymous Coward · · Score: 0

      What's your problem? The returns from a 401k are real.

    22. Re:Remind me,,, by AmiMoJo · · Score: 1

      It's not about class at all. People either have enough money to live comfortably but bitch about it anyway, or they don't and and have no voice to bitch about it.

      People tend to end up where they started. The main cause of poverty is your parents being poor. If your parents were doing okay they could afford to live near a good school, so you will probably do okay. If they are rich you are made in any case.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    23. Re:Remind me,,, by AmiMoJo · · Score: 1

      It is the fault of the government. If the UK just insisted that Google pay its taxes or leave then Google would pay because the UK market is worth a lot to them. Billions a year in sales.

      As it is the EU is trying to do exactly that, forcing companies that do business in Europe to pay up regardless of how clever their corporate structure and tax arrangements are. Naturally our government is trying to block it because they want to "support" business.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    24. Re:Remind me,,, by BasilBrush · · Score: 1

      The person you initially responded to already made the conversation about governments.

      Not about governments supplying services. The question is who's fault is it that multi-national companies aren't paying the tax they should. Which is on topic, both to the story and to the preceding post.

      But it has fuck all to do with supplying services. It's legitimate to point out that they are avoiding the substantive topic.

    25. Re:Remind me,,, by Scannerman · · Score: 1

      unless i'm wrong, (surely not), You still have free healthcare and higher education, once you start adding that into the 'effective tax rate' the US is not so cheap.

    26. Re:Remind me,,, by Rockoon · · Score: 1

      It would be nice to see these entities seized by the IRS and large parts sold off to their competitors.

      The IRS is complicit in the affairs that you want them to police.

      When did it become rational to hold private corporations to a higher standard than we hold members of government?

      Oh thats right, it never became rational to do that. Stop being irrational.

      --
      "His name was James Damore."
    27. Re:Remind me,,, by Rockoon · · Score: 1

      Its the governments wrong-doing because people generally hold governments to a higher standard than they do private enterprises. Really. They do. You don't. But people in general do.

      --
      "His name was James Damore."
    28. Re:Remind me,,, by s0nicfreak · · Score: 1

      People tend to end up where they started. The main cause of poverty is your parents being poor. If your parents were doing okay they could afford to live near a good school, so you will probably do okay. If they are rich you are made in any case.

      I really think that is correlation and not causation nowadays in the US.

      Even the poorest people in the US have access to the internet in some form. It's not always a computer in their home. It's more often a smart phone, but there's also computers in libraries and computers in schools (though they are usually crappy computers). Even if you go to the shittiest school in the country, you have access to curricula better schools are using, access to knowledge from some of the top universities, etc. for free.

      It's just a question of being driven to acquire that knowledge. I've lived in poverty in the US, and contrary to popular belief, it really isn't all that bad, and not everyone in it wants to put in the effort to get out. Why bother to go into debt getting an education, and then work for 40 years at a shitty job where you'll have to pay taxes and bills, and have little if any time to enjoy the money you have left over; when instead you can just sit in your house - looking at porn, getting high, text messaging, whatever strikes your fancy - and have everything paid for for you and then some? If your parents did it, and you saw that life was pretty cushy for them, why would you want to bother trying to live the other lifestyle, which everyone online is always saying sucks?

    29. Re:Remind me,,, by BasilBrush · · Score: 1

      Really? You don't expect private enterprises to behave well, so you excuse them when they don't. You're going with that?

      Apply that to criminals and the police. It's not the murderer's fault that woman is dead. You expect criminals to do bad things. It's the police's fault for not catching him. We hold the police to higher standards than criminals.

    30. Re:Remind me,,, by Anonymous Coward · · Score: 0

      "Because a key tactic in class warfare is the 0.01% getting the government to do their bidding."

      And to simultaneously extow the virtues of the "self made man" (or woman, as may be).

    31. Re:Remind me,,, by Arker · · Score: 1

      Why would you need an excuse?

      --
      =-=-=-=-=-=-=-=-=-=-=-=-=-=-
      Friends don't let friends enable ecmascript.
    32. Re:Remind me,,, by Arker · · Score: 1

      The governmental wrong-doing is obvious. They steal money, openly, blatantly, and use it for all manner of evil. The big multi-national corporations are hardly paragons of virtue, but looking narrowly at 'tax avoidance' - using any and all legal means to minimise the loss - it's hard to see how there could possibly be anything wrong with that.

      --
      =-=-=-=-=-=-=-=-=-=-=-=-=-=-
      Friends don't let friends enable ecmascript.
    33. Re:Remind me,,, by bunbuntheminilop · · Score: 1

      Class warfare exists because there is a 'class' of people that identify themselves as a 'class' because they had to 'fight' in some conflict.

      The warfare between classes is something that actually creates identity in a class which leads to more class struggle.

      So, as long as people identify as proletariat or bourgeoisie, there will be conflict and class warfare.

    34. Re:Remind me,,, by pyite · · Score: 1

      The corporations have to pay higher salaries so people have the same take home pay

      Not sure what fantasy world you live in. Corporations are under no such obligation to make take home pay constant. Most people I know do not get cost of living increases on a regular basis. So, inflation adjusted, and factoring in increased taxes (the norm in the US lately), most people I know are making less money each and every year.

      --

      "Nature doesn't care how smart you are. You can still be wrong." - Richard Feynman

    35. Re:Remind me,,, by Anonymous Coward · · Score: 0

      I know European tax rates are high, but you have the upper tax bracket kicking in at €55?

    36. Re:Remind me,,, by gnasher719 · · Score: 4, Interesting

      Wow, I'd like a 35% tax rate; ours in NL starts at around that percentage, and goes up to 52%... with that upper bracket kicking in real fast at around â55.000 taxable income.

      "Taxable income" is the important term. Talking about the tax rate is pointless when you don't add what "taxable income" is. In one country, the cost of driving to work is deducted from your income to calculate "taxable income". In another country, they are seriously thinking about adding the benefit of having a free parking space where you work to your income to calculate "taxable income". In one country, mortgage payments are deducted from your income, in another country they aren't.

      "Tax rate" on its own is meaningless. What you need to know is how much tax people in comparable situations actually pay.

    37. Re: Remind me,,, by Anonymous Coward · · Score: 0

      Unless your target withdrawal time is a correction, then you are luck if the principle stays intact.

    38. Re:Remind me,,, by ebno-10db · · Score: 1

      "Because a key tactic in class warfare is the 0.01% getting the government to do their bidding."

      And to simultaneously extow the virtues of the "self made man" (or woman, as may be).

      Quiet, peasant! Only those who've mastered doublethink may tell the American people what they should think.

    39. Re:Remind me,,, by MitchDev · · Score: 1

      The government MAKES the tax laws that they let the scumbags exploit to not pay their share

    40. Re:Remind me,,, by BasilBrush · · Score: 1

      Problem is a the multi-nationals play off countries against each other. Finding the cracks between the laws of different countries. There's, what, a couple of hundred countries in the world. Any given international transaction means 2 countries. That means around 40,000 possible pairs of tax laws, to have no gaps between.

      It'd be hard if all the countries were cooperating as part of the same team. But they're actually competing.

      The world is far more complicated than it looks at first glance.

    41. Re:Remind me,,, by dryeo · · Score: 1

      The same fantasy world as the AC I replied to who stated that raising corporate taxes are automatically passed on.
      Corporations pay as little as they can in wages and charge as much as they can for their products. Personal taxes go up, they'll only raise wages if forced to retain their labour force. Corporate taxes go up, they'll only raise prices if consumers will pay. The truth is they're already paying as little as they can and charging as much as they can.

      --
      https://en.wikipedia.org/wiki/Inverted_totalitarianism
    42. Re:Remind me,,, by BasilBrush · · Score: 1

      but looking narrowly at 'tax avoidance' - using any and all legal means to minimise the loss - it's hard [for me] to see how there could possibly be anything wrong with that.

      Then you are part of the problem.

    43. Re:Remind me,,, by Arker · · Score: 1

      That's a pathetic throw-away jab, and the only appropriate answer is 'no you.'

      --
      =-=-=-=-=-=-=-=-=-=-=-=-=-=-
      Friends don't let friends enable ecmascript.
    44. Re:Remind me,,, by Anonymous Coward · · Score: 0

      Surely it isn't that GE (General Electric) is staffed heavily by ex-IRS employees, and for the last several years has paid $0 in taxes on gross profits of over $5 billion. How much did you earn last year? How much did you pay to the tax man? *THERE* That surging rage and anger starting to well up inside you is indicative of this "Class Warfare" you speak of.

    45. Re:Remind me,,, by Anonymous Coward · · Score: 0

      Er, if someone had 12 million left in their annual salary after tax I wouldn't exactly cry for them regardless of how much they were being taxed.

    46. Re:Remind me,,, by adolf · · Score: 2

      I have an idea: Anyone "earning" more than $1 million per year pays no Federal taxes. At all.

      Instead, they just have to spend at least half of their "earnings" on goods and services. Every year. I don't care what they spend it on: Could be yachts, could be Oreos. Could be Chinese-made trinkets or American-made binoculars or Italian sports cars.

      Don't care: They must spend it on goods and services. Not domestic investments. Not off-shore resources. And then prove that they've done so, every year, and prove that they've received these goods and services, and that they were all sold to them at reasonable market value.

      (This likely means they'll need to employ an accountant. Cry me a river.)

      In exchange, they owe no Federal tax. (I'm also in favor of saying they'd owe no state taxes, but that's 50 more arguments.)

      The other half of their "earnings"? They can invest it. They can sit on it in an interest-bearing account. They can buy even more goods and services. They can have the bank give them 50% of their earnings in $2 bills so they can swim in them. Give it to their children and friends. Donate it to charity. Buy small countries. [More] Hookers and blow. Don't care.

      If they fall short on spending 50% in a year, then they simply owe the remainder and a 25% penalty to the general fund: If they "earn" $1,000,000.00, and only spend $300,000.00, then they'll be required to put $250,000.00 into the kitty.

      Hoarding thus solved, and their contractors and retailers thus wealthy (though perhaps not rich) and paying regular taxes, the wealth disparity is thus solved.

      If they don't like this gambit, they can just, you know, earn less money. And then it will still automatically be spread out much the same by market forces.

    47. Re:Remind me,,, by Rockoon · · Score: 1

      Your logic fails because THE POLICE ARE NOT COMPLICIT IN THE MURDER.

      You really dont understand that the IRS is complicit in the shit that you are complaining about, do you? You can blame private companies all day long, but at the end of the day its still the same IRS that fucked you because you've missed where the real problem is.

      --
      "His name was James Damore."
    48. Re:Remind me,,, by Anonymous Coward · · Score: 0

      People working regular jobs of course never on the edge of ruin due to lowballed wages... And they don't ever put anything off to build a career, why I'm making half of what a succesful business brings in just by wiping my ass!

    49. Re:Remind me,,, by Anonymous Coward · · Score: 0

      Bullshit. You ascribe random characteristics of some people to a group for no good reason. There's pleanty of poor who have no one to turn to and would be strictly better of with more means, there's middle class that is just trying to hang on to being middle class instead of playing politics and there's rich that are smart enough to ensure comfort even if their main investments fail. Of course that's just another cross section, but it invalidates your bullshit simplification just as well.

    50. Re:Remind me,,, by dodobh · · Score: 1

      Having access to the Internet isn't sufficient if you have no encouragement to actually use it. If you don't know that you can apply to a good school and get grants, you never will.

      Poverty drives a number of behaviours (and lack of information), whiich lead to a cycle of being poor again. Education is one of those things where you really don't want local taxes funding schools, just fund them all equally well on the educational side of things.

      --
      I can throw myself at the ground, and miss.
    51. Re:Remind me,,, by rtb61 · · Score: 1

      However it is pretty obvious, that big corporations not paying taxes is becoming a more a more powerful political meme. People are starting to demand those corporations pay taxes and politicians will win or lose based on their willingness to ensure large multi-national corporations pay taxes. So yes Amazon, Apple, Google will be paying taxes or their executives will start going to jail for tax fraud. This is a global issue and treaty to stick it to those tax cheats and the tax haven pirates is in the offing. A few extended prison terms for tax fraud would also be nice and politically demanded.

      --
      Chaos - everything, everywhere, everywhen
    52. Re:Remind me,,, by MitchDev · · Score: 1

      Excuses excuses.

      I like how you advocate letting these scumbag companies get away with it by saying "it's too hard" to fix the problem...

    53. Re:Remind me,,, by BasilBrush · · Score: 1

      Excuses excuses.

      Is that the best you can do? That was my brothers favourite phrase when he was a school kid.

      I like how you advocate letting these scumbag companies get away with it by saying "it's too hard" to fix the problem...

      Not only do I make no such advocation, the fact that my sig is attacking the tax dodging of one of those companies makes your comment laughable.

    54. Re:Remind me,,, by BasilBrush · · Score: 1

      It's a truism. If you can't see the problem, then you can't be expected to participate in finding a solution.

    55. Re:Remind me,,, by BasilBrush · · Score: 2

      You really dont understand that the IRS is complicit in the shit that you are complaining about, do you?

      The IRS might be your tax collection agency, it's not mine. This is a worldwide problem, which is one of the things that indicates that you are the one who doesn't understand this. It's not the problem of your local tax collection agency, it's a fundamental difficulty of there being multiple governments, all with their own tax collection rules and regimes. It's the cracks between that the multi-nationals exploit.

      It's difficult to fix because there is no world organisation or government that can stitch the mosaic of different countries tax laws into a gapless whole.

      Think about it. Any international transaction can take place between any two countries. There are about 200 companies, to that means there are about 40,000 combinations of tax law that might apply to a single transaction. The fact that those laws are mostly not even written in the same language just adds to the fun.

      And that's only one tiny part of the problem.

      You think it's so easy. You think the IRS/Government can just decide to collect the avoided taxes. And that's just naive.

    56. Re: Remind me,,, by Anonymous Coward · · Score: 0

      No private health care is mandatory and costs around â100 per month for basic

    57. Re:Remind me,,, by BasilBrush · · Score: 1

      I hope you're right. I don't see much sign of the current UK government taking any notice of what the people want. They are certainly on the side of the tax avoiders.

    58. Re:Remind me,,, by marauder · · Score: 1

      No doubt they would all simply pair off and each invoice the other half a million dollars for an executive backrub, the fair market value of which is established by what the other guy charges?

    59. Re:Remind me,,, by Anonymous Coward · · Score: 0

      Oh, and the professionals/entrepreneurs, because after years of hard work, sacrifice and risk-taking

      I am so damned sick of hearing about "risk taking." Risking capital isn't risk, risk is being on the roof with an air hammer of a three story building you're constructing for one of these "risk takers." Investing in a loggiong operation isn't risk, the loggers are the ones risking something more than all the "risk taker's" money, their very lives. Fire fighters have risky jobs. Poorly paid convinience store clerks have risky jobs. The the professionals/entrepreneurs are NOT risk takers, nobody ever died from a bankrupcy filing.

      Risk? Risk, my ass. "He risked half his fortune!" Yeah, and should it fail he's still rich unless he was stupid enough to put all his eggs in one basket.

      BRING BACK OWS!!!!! God damn it but apologist like you piss me off.

    60. Re:Remind me,,, by Arker · · Score: 1

      I see the problems. They just arent where you want them to be.

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    61. Re:Remind me,,, by Reziac · · Score: 1

      That's not entirely a bad idea, but let's be fair -- extend it to everyone. This shouldn't be any hardship if you're already in the wage class where you spend most of what you make just to live.

      The upside is that there'd probably be a lot more discretionary spending, which in turn would boost a lot of industries. Particularly if you get a consideration for buying domestic products, where they exist.

      The downside is that it might negatively impact investment, but I'm not entirely sure that'd be a bad thing, as methinks some of the boom-and-bust of recent years stemmed from too much venture capital burning a hole in some accountant's pocket.

      --
      ~REZ~ #43301. Who'd fake being me anyway?
    62. Re: Remind me,,, by Anonymous Coward · · Score: 0

      Well you all vote for the politicians, didn't you? If you didn't vote then you have no right to complain. You agreed to the status quo simply by not doing anything.
      If you voted then get your local politician to change. Grass roots work can make changes.
      How about less complaining and more doing?

    63. Re:Remind me,,, by DEN_GUY · · Score: 1

      Not everyone hates the government. The executives of big companies are actually so fond of them that they even take their government chums out to expensive restaurants and parties on their private yachts.

      It's just the poor people who hate the government, because they're all nasty and poor and horrible.

      And the middle classes, whose tax money is going on unpopular schemes like wars and helping poor people.

      Oh, and the professionals/entrepreneurs, because after years of hard work, sacrifice and risk-taking that will stop many in their tracks, those who do succeed are then considered "rich" and taxed sharply, while the people who are actually rich have enough mobility to avoid those same high taxes, which is why the very high tax rates don't actually raise much money for the government anyway.

      The supposition that they are different is in error. The Military-Industrial Complex (http://en.wikipedia.org/wiki/Military%E2%80%93industrial_complex) has now expanded to go beyond aerospace and heavy industry to include Technologies, Big Labor, etc. For a recent example, look at the above and then read about all Org's that voted for Obamacare, then turn around and get waivers for it. The middle class is a giant ATM for Labor and Government. Consumers are the ATM for Big Biz. This is why Government should be smaller, and products should be bought locally if possible.

    64. Re:Remind me,,, by tasnakht · · Score: 1

      we all have vested interests in one way or another

    65. Re:Remind me,,, by Anonymous Coward · · Score: 0

      Because retards want corporations to raise their prices to account for the cost of taxes, so retards can pay the tax indirectly, plus accounting fees?

    66. Re:Remind me,,, by Anonymous Coward · · Score: 0

      Because they both are useless and the ones that know this are outnumbered?

    67. Re:Remind me,,, by Shirley+Marquez · · Score: 1

      The situation for doctors isn't different here. Top specialists, especially surgeons, make a lot of money, but many other doctors (notably primary care) don't, and they all pay a lot of money for malpractice insurance. (There were reports some years back of doctors being forced out of OB/GYN because of high insurance rates: see http://www.eurekalert.org/pub_releases/2005-06/uomh-hco053105.php for one example.) And to get there, they have to survive years of training with very long hours, and pay a lot of money for schooling, typically taking on a crushing load of student loans.

    68. Re:Remind me,,, by Anonymous+Brave+Guy · · Score: 1

      Risking capital isn't risk [...] nobody ever died from a bankrupcy filing.

      Right. In fact, everyone who starts a small business was rich before, and even if their business collapses while they're pumping their own savings back into it so they can keep paying their employees in a down period, they'll still have plenty of money left over to pay for health insurance and a good school for their kids.

      If you really feel that starting a business is an easy choice and carries no real risk, go ahead and do it yourself. There's nothing magic about it, and nothing is stopping you but your own prejudice. Then you can make sure that when you do hire guys to do potentially dangerous manual work, they've got the best safety gear and working conditions and site supervision possible.

      --
      If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
    69. Re:Remind me,,, by Anonymous Coward · · Score: 0

      A banker, a politician, a teacher and an immigrant are at a table with 100 biscuits. The banker takes 99 biscuits and gives 10 to the politician. The politician turns to the teacher and says "Careful - I think that immigrant is after your biscuit."

      In your world, if the teacher says "Wait, what about the banker" he is engaging in hypocrisy? Really? Open your eyes to what's going on around you. Seriously.

      The rich don't need gouging because they can afford it. They need gouging because they do not pay their fair share of tax even ignoring progressive taxation. Expecting a millionaire to pay the same basic level of tax that you do is not hypocrisy. Expecting a large corporation to pay the same tax on profits as your mom-and-pop business does is not hypocrisy. Get a clue.

    70. Re:Remind me,,, by BasilBrush · · Score: 1

      Do you think the multinationals should pay their share of tax or not? Or do you believe that tax burden (at whatever level it is set) should be born by small-businesses and individuals, whilst the multinationals pay next to nothing?

    71. Re:Remind me,,, by wallsg · · Score: 1

      But that is no excuse to get rid of government. The focus should be to rid government of vested interests.



      Limit what government can do so that it can't provide lavish benefits to some at the expense of others and that pretty much solves the problem.

      The framers of the Constitution would be appalled at what our government does under the excuses of "Interstate Commerce" and "General Welfare". The modern view of those clauses leaves no powers to be "reserved to the States respectively, or to the people." A Constitution written to limit the powers of government wouldn't have two catch-all clauses for "and everything else not listed here", as it specifically does for the people in the Ninth Amendment: "The enumeration in the Constitution, of certain rights, shall not be construed to deny or disparage others retained by the people." It's obvious on its face that those clauses are being misinterpreted and abused.
    72. Re:Remind me,,, by Anonymous Coward · · Score: 0

      America is self destroying because it no longer exists. They should be willing and happy of paying taxes here but.... tehy are ALL becoming Chinese, right? Though you are happy with buying whatever they may stop selling on no notice to you and YOU are unable to fabricate again. Or can YOU gather all the patent texts AND implement them HERE? I do not think so.

    73. Re:Remind me,,, by Arker · · Score: 1

      You pose a false dilemma. You imply there are only two possible answers, but in fact they are both wrong, and the correct answer is entirely different.

      Now let's start with another question, one you didnt include. Do you think multinationals pay tax or not?

      Because if you think they do you sir do not understand the basics here. They do not pay taxes, never have, never will. Any and all taxes assessed against them are and will be paid by their customers. No amount of fiddling with tax codes is ever going to change that basic fact, and beyond that, any such fiddling is inevitably going to be done with the interests of said multinationals at the forefront, since they are the ones that wield enough influence with legislators to get what they want.

      So it has nothing to do with what I think *should* happen here, but only with what we know from experience and reason does, will and must happen. Whatever tax burden corporations are purportedly saddled with, it is the individual that ultimately pays them.

      The solution is to reduce government spending, and thus the total tax burden. All the noise about corporate taxation serves a single purpose - to distract people from that fact and keep us divided and blaming each other so that we dont unite against our common oppressors.

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    74. Re:Remind me,,, by jahudabudy · · Score: 1

      Limit what government can do so that it can't provide lavish benefits to some at the expense of others and that pretty much solves the problem.

      So, pretty much get rid of government, then. As long as you allow taxation, government can provide exceptions to taxes that provide a huge benefit to those favored few. And without taxation, government can do nothing. Everything else is the same: any power to regulate includes the power to exempt from regulation, which provides a huge competitive advantage. Any power to enact laws includes the power to enact loopholes that exempt from those laws, etc.

      --
      ...sometimes, in order to hurt someone very badly, you have to tell that person terrible lies. - PA
    75. Re:Remind me,,, by BasilBrush · · Score: 1

      Because if you think they do you sir do not understand the basics here. They do not pay taxes, never have, never will. Any and all taxes assessed against them are and will be paid by their customers.

      Fuck me. You don't really believe that do you? OK here's what happens a company earns money from doing business. That money does of course come from their customers. But once it's been earned it belongs to the company. And they pay (or at least should pay) tax out of that money that they own.

      Now then, using your argument, one would also have to say that employees don't pay tax, their employers do. Yet employers are companies and employees are customers.

      Here's a graphical representation of why your argument is stupid.
      http://bumblr.blogspot.co.uk/2009/04/snake-eating-its-tail-funny-pic.html

      The solution is to reduce government spending, and thus the total tax burden.

      My question, which you couldn't answer, included the proviso that the tax could be at whatever level. Unless you're advocating an anarchy there will always be tax, and the problem of multi-nationals cheating everybody by not paying their share.

    76. Re:Remind me,,, by Arker · · Score: 1

      Yes, when a corporation or any other sort of business pays taxes, that tax is simply another expense which they pass onto their customers. There are a few possible variations on that - if one business is hit with a tax that its competitors manage to avoid, for instance, that business is likely to be OUT of business as a result. But if it's imposed across the board, it simply adds to the operating costs of the businesses affected, and the entire tax burden falls on individuals. When the companies in question are huge multinationals that just means it's even less likely that we little people will be able to find any workable way around paying it.

      You can call me stupid and post silly pictures all you want but it's still true.

      I dont agree that tax is inevitable (or only possible to get rid of via anarchy) but setting that aside and accepting your contention for the sake of argument - taxes in such a situation should still be assessed directly against the people that actually have to pay them, so that they arent invisible.

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    77. Re:Remind me,,, by BasilBrush · · Score: 1

      It's as true are "black is white" and "the moon is made of cream cheese". In other words there's no arguing with someone who rejects reality.

    78. Re:Remind me,,, by Anonymous Coward · · Score: 0

      I just think everybody, with no exceptions should be flat income taxed at 10-15%. No write offs, no miles, no help, nothing. You pay 10-15% of what you make in taxes, period. How to the government wants to split that between feds, state, social security, etc... I don't care. Than there should be an addition to the bill that says the government cannot make up for perceived losses (because I really don't believe there will be much if any) by hiking up sales tax, industry tax, etc... Take the 10-15% (I also mean decided on a number, not the current make more, take more scenario) and figure out how to spend with that. If you can't run a country on that, then start cutting.

    79. Re:Remind me,,, by Arker · · Score: 1

      Indeed, you are living proof of that particular statement.

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    80. Re:Remind me,,, by volmtech · · Score: 1

      Junior doctors work long hours because governments limit medical school enrollments and the medical culture "hazing" of residents eliminates many prospective doctors. A boyhood friend of mine is now a preeminent pediatric plastic surgeon. He flunked his residency twice because he couldn't function on 3 hours sleep in 48 hours. If they allowed more people to study medicine and let them get enough sleep there would be no shortage of doctors. Truck drivers have to log eight hours sleep per 24 or they can't drive but a surgeon is expected to do brain surgery after working 36 hours straight.

    81. Re:Remind me,,, by volmtech · · Score: 1

      First time I have heard that plan. That is something to think about. Created wealth does little good if it is only used to create more wealth.

    82. Re:Remind me,,, by peragrin · · Score: 1

      You do realize that people earning less than $100,000 annual spend 90% or more of their income.

      If the rich can get buy only spending 50% of their income then they aren't spending their fair share either.

      The richer you are the less of your income you actually spend. sure you may own 5 cars and three large houses. but once the big money items are done you have a hard time spending the rest.

      Better yet anyone earning less than $100,000 pays no taxes. Anyone earning between $100,000 and $500,000 pay 15% flat tax, anyone earning over $500,000 pays 25% flat tax. No donations, no discounts, no tax breaks.

      You see the 90% of the population that suddenly has an extra roughly $15,000 (*300 million people) they will save some of it, but most of their tax money saved WILL be spent on goods and services every year. That is $45 billion that will be spent on the real economy instead of wall street's obviously inflated one.

      Of course the other 10% will be supporting the rest of us, but since they WON'T spend their money anyways it might as well get put to good use.

      --
      i thought once I was found, but it was only a dream.
    83. Re:Remind me,,, by adolf · · Score: 1

      Ok, so let's make the rich spend 75% of their income. Or 90%. Or whatever.

    84. Re:Remind me,,, by adolf · · Score: 1

      The downside to applying it to everyone is that it's a pain for me to provably track where my money goes.

      A rich person hands their AmEx bill and receipt pile to their accountant, who deals with the rest of the paperwork.

      Whatever. My plan is more about solving the issue of the rich person complaining about being taxed, than it is about reforming every aspect of government revenue generation.

      I think it is an idea worth exploring.

    85. Re:Remind me,,, by Anonymous Coward · · Score: 0

      um, the top 10% of the country controls far more than 75% of the wealth.

    86. Re:Remind me,,, by Reziac · · Score: 1

      Well, better would be to return to the tariff system that this country's gov't got by on just fine (well, in non-war years) in the days before income tax let it bloat itself to "gov't fills the dollars allotted". No need for anyone to track anything, incentivize buying local.

      --
      ~REZ~ #43301. Who'd fake being me anyway?
    87. Re:Remind me,,, by s0nicfreak · · Score: 1

      You're equating education and schools. They are separate things.

  2. You voted them into office, now suck it up. by GenieGenieGenie · · Score: 4, Insightful

    And for those of you who think this is partisan-minded, the "other" guys (hah! what a joke) would have done exactly the same.

    1. Re:You voted them into office, now suck it up. by jareth-0205 · · Score: 4, Insightful

      And for those of you who think this is partisan-minded, the "other" guys (hah! what a joke) would have done exactly the same.

      So your point is 'we' are to blame because we voted them into office when we had a choice to vote for someone else... who you also admit would have done the same thing...

      Nice logic there.

    2. Re:You voted them into office, now suck it up. by Anonymous Coward · · Score: 5, Insightful

      In Soviet Russia

      Governments manipulate corporations

    3. Re:You voted them into office, now suck it up. by tmosley · · Score: 2

      So there can only be Republicans or Democrats? Is it even possible for a person to think in a way that is different from those two corrupt and fascist ideologies?

      Nice logic there.

    4. Re:You voted them into office, now suck it up. by jareth-0205 · · Score: 1

      We are talking about the UK, which has a 3/4-party system, none of which are called Republicans or Democrats.

    5. Re:You voted them into office, now suck it up. by ebno-10db · · Score: 1

      You can always count on New Labour to stick up for the 99%. Ignore details like Blair making millions from JP Morgan Chase. He had to find some job after being PM, right?

    6. Re:You voted them into office, now suck it up. by stenvar · · Score: 1

      Congress sets tax policy, and representatives are all over the map politically. You can make a difference, once representative at a time. And you have to get started during the primaries, not once it comes down to a binary choice.

    7. Re:You voted them into office, now suck it up. by Anonymous Coward · · Score: 0

      Err, not really: It's essentially a 2 party system of either the Tories or Labour having all power. The Lib Dems are more or less irrelevant except for having decided which of the former 2 got into power after the last election by forming a "coalition" where they have little say. You still run into exactly the same problems of a 2 party system... If you want to see a multiparty system the UK isn't the place to go. Maybe Switzerland, Belgium, possibly the Netherlands? But I think the last government representing the whole people was back during WW2 over here.

    8. Re:You voted them into office, now suck it up. by Patch86 · · Score: 1

      New Labour is, thankfully, almost dead. If Miliband manages to win the next election, it will probably be buried. Why do you think grandees like Blair and Mandelson are so quick to put the boot in to him? They're terrified he might win by pursuing a platform other than New Labour. If Miliband loses, it'll throw Labour right back into the throes of New Labour again, in the belief that it's the "only way to win".

      Of course they said the same about Cameron and the Tory "Nasty Party", and that didn't exactly turn out well. But we can but hope.

    9. Re:You voted them into office, now suck it up. by Anonymous Coward · · Score: 0

      Hes actually been trying to get back into politics but luckily nobody wants anything to do with him.

    10. Re:You voted them into office, now suck it up. by ebno-10db · · Score: 1

      Thanks for the update on UK politics. As an American I admit I don't follow it closely enough to engage in real debate. The Blair thing stuck in my craw because it's analogous to the "Third Way" Democrats in the US. Sounds like there's some hope over there. With Obama and his likely successors in the US, not so much.

      P.S. Just out of curiosity, under what circumstances would you be willing to call the American War of Independence an unfortunate misunderstanding and take us back?

    11. Re:You voted them into office, now suck it up. by jareth-0205 · · Score: 1

      I don't really disagree, I just think that the grandparent doesn't get to have an opinion if he can't even be bothered to work out that this isn't a US-based discussion.

    12. Re:You voted them into office, now suck it up. by AxemRed · · Score: 1

      There were more than 2 choices. The Republicans and Democrats have everyone convinced that if you vote for a 3rd party, you're throwing your vote away. They rally people around hot-button issues to distract everyone from the fact that they are 90% the same. If people want change they need to stop voting for Republicans and Democrats, especially at the national level. Even if you don't care, go out and vote for a 3rd party candidate. Barring a miracle, they're not going to win any major elections right away. But as their vote tallies steadily increase, it will drive the point home to the politicians in both of the major parties that we are sick of their shit. They're not going to change until their jobs are threatened.

    13. Re:You voted them into office, now suck it up. by Anonymous Coward · · Score: 0

      Keep up with times, it's Communist China, not Soviet Russia. And it's true, don't see what's so funny about it.

    14. Re:You voted them into office, now suck it up. by Capt.+Skinny · · Score: 1

      But.. but... but... I thought the US was the center of the world??? Isn't /everything/ about the US unless explicitly declared otherwise???

      -American

    15. Re:You voted them into office, now suck it up. by BasilBrush · · Score: 1

      New Labour has been out of power for 3 years. Is anything getting better? No, it's getting worse. Which is no surprise for anyone that remembers the previous Tory government. Though it has been a bit of a surprise for a lot of people who used to support Lib Dems.

      Lets face it, not even the swivel-eyed loons from the shire Tory associations are happy with the current shambles.

    16. Re:You voted them into office, now suck it up. by BasilBrush · · Score: 2

      Well you'd have to give up the guns, and the constitutional right to teach your children to shout "God Hates Fags!" at people's funerals. We're a bit snooty about such primitive behaviours.

    17. Re:You voted them into office, now suck it up. by BasilBrush · · Score: 1

      It's OK, we know the vast majority of you don't have passports. We don't expect you to know there's a whole other world out that that's not USA.

      We chuckle to ourselves when you call your local rounders competition "The World Series".

    18. Re:You voted them into office, now suck it up. by Anonymous+Brave+Guy · · Score: 2

      To be fair, the incoming government this time was going to inherit a poisoned chalice in so many ways that whoever won they would never have a fighting chance. The only strategic difference was that Labour basically knew they had no chance of winning outright before the election campaign even started, so they could safely poison the well knowing that even in their worst plausible outcome they would have someone to share the blame with in a coalition.

      I'm not convinced that most European governments really have any idea what they're doing right now, but I'm also not convinced that anyone else who was running for election would have done much better from the same starting point, including either of the parties currently in coalition in the UK if they had won outright.

      --
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    19. Re:You voted them into office, now suck it up. by Calydor · · Score: 2

      The 'funny' comes in when you remember that this is only half the joke. The original sketches then told of how things worked in America, where it was the other way around.

      For instance: In America, you can always find a party. In Soviet Russia, the Party can always find you.

      So, to completely ruin the joke by over-explaining it, if the government controls the corporations in Soviet Russia, it must be the other way around in America. Ergo, that the corporations control the government.

      Do you see what's funny now? Other than, yeah, it's true.

      --
      -=This sig has nothing to do with my comment. Move along now=-
    20. Re:You voted them into office, now suck it up. by BasilBrush · · Score: 1

      To be fair, the incoming government this time was going to inherit a poisoned chalice in so many ways that whoever won they would never have a fighting chance.

      On the economy, fair enough, that's a global problem. But the Tories are fucking everything else up to. Take Education. The Tories are trying to make sweeping changes to state education AGAIN. And what does Gove do to justify this? He makes a speech saying that schools are teaching about Adolf Hitler through the medium of Mr Men characters.

      And the truth? The MisterMen hitler connection came from a private company's web-site. A web-site only used by private schools. And it was an exercise set to
      15-16 year olds to come up with a story to teach what they'd already learned about hitler to 10-11 year olds.

      No teacher has ever to anyone's knowledge taught Hitler to children using Mr Men Books, and the exercise was only ever done by private school kids.

      And this is Gove's example of poor expectations in the state school sector. And his excuse for doing yet another shakeup of schools. Schools never get to settle in any one new system before the next ill-thought out one comes along.

      And as a result he gets booed at the NAHT conference. The NAHT are not like the NUT. They are a relatively conservative bunch. And don't usually heckle speakers. Gove also needs their cooperation if he wants to push through any changes. And it looks like he's not going to get it now.

      The guy is an imbecile. And he's not the only one on the front bench.

    21. Re:You voted them into office, now suck it up. by ebno-10db · · Score: 1

      I'm also not convinced that anyone else who was running for election would have done much better from the same starting point, including either of the parties currently in coalition in the UK if they had won outright.

      What do you think of UK austerity? Serious question - as an American I don't pretend to have great knowledge of UK politics and economics.

    22. Re:You voted them into office, now suck it up. by symbolic · · Score: 1

      The ideologies aren't corrupt, the people and system are. The cycle is the same...big companies fund mainstream candidates who use the corporate money flood the airwaves with ads about why you should vote for them (which are typically 80% - 90% horseshit, since they don't contain anything substantive). This is typically all people listen to, so they naturally restrict themselves to the worst choices they could make. Lather, rinse, repeat.

    23. Re:You voted them into office, now suck it up. by dryeo · · Score: 1

      Here in Canada where more then 2 parties actually win seats, we currently have a government with a mandate that allows them to do anything the Supreme Court doesn't object to, and unlike previous governments they don't ask first, just pass laws and fight like hell to have them declared constitutional. Takes years for bad laws to work their way through the court system. This due to the 62% of voters who did not want these guys in power splitting their vote. If the results are 33% 33% and 34% the ones with 34% can run all over the other 66%.
      The other thing is how when a third party does meet success, they move in the direction of the other party or get overrun by members of the other party which leads to more of the same shit..
      At least in America someone can get elected by promising major change. Look at Obama, he got elected with a good chunk of the votes because he promised to be different. Of course he turned out to be more of the same and a major disappointment but the people clearly wanted a change.

      --
      https://en.wikipedia.org/wiki/Inverted_totalitarianism
    24. Re:You voted them into office, now suck it up. by Anonymous+Brave+Guy · · Score: 1

      I think in the UK context, "austerity" is mostly just a political/media buzzword of the moment. We're somewhat isolated from the Eurozone chaos here, and although people borrow the word, I don't think there's any real similarity between economic conditions in the UK (not great but mostly recovered from the worst of the credit crunch) and economic conditions in continental Europe (riots on the streets, ordinary people worrying about basic everyday needs, unelected governments taking power, mass cash grabs on bank accounts, fundamental destruction of trust in essential political and financial systems by the general population).

      More generally, austerity seems to have been a moderately disastrous panic reaction to the unsustainable political and economic models used in many Eurozone countries and the doubtful future of the Eurozone as a whole while member states have such vast differences in their economic strengths. I'm not an economics expert, so maybe I'm just failing to appreciate some subtlety of what the governments in question were really hoping to achieve, but from a lay person's perspective it seems like they dived into a knee-jerk cost-cutting spree without having a plan for the end-game. As a result, while they have cut some costs (no bad thing in many of the countries in question), they also seem to have undermined everyday life and with it any prospect of economic growth in the near future. As far as I can tell, the entire economic foundation of the Eurozone now consists of one part underwriting by economic giants like Germany and a second part that is basically 100% funny money, mixed in debatable proportions and with a liberal measure of wishful thinking to top it off. I'm therefore expecting further spectacular collapses before we're done, unfortunately.

      --
      If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
    25. Re:You voted them into office, now suck it up. by ebno-10db · · Score: 2

      Sounds like the UK (and Sweden IIRC) did the right thing in not switching to the Euro.

    26. Re:You voted them into office, now suck it up. by Anonymous+Brave+Guy · · Score: 3, Interesting

      We're drifting a bit off-topic here, but I just wanted to say that I think education actually was one of the other areas where any incoming government was going to be doomed before they even took office.

      For years, our education system at secondary and tertiary levels has been based on fantasy. Standards haven't really risen dramatically for decades for secondary school leavers, but it's easier to appease parents and teachers by pretending they have than to pick the fight. You can't really put 50% of each generation through university and expect that the degrees they come out with will get all of them the kinds of graduate jobs that used to be available when only 5-10% of each generation continued on to university. You certainly can't do that, and then not only remove financial support but actively charge a small fortune for the privilege, leaving entire generations saddled with debts before they even start their first real job, and then expect that there will be no negative consequences.

      Unfortunately, anything that would fix these problems requires acknowledging that the teaching profession has been covering its collective backside for years rather than confronting the small but significant fraction of professional teachers who simply aren't up to the job. It requires admitting (or at least understanding) that the quality of teaching at universities is often pathetic, and that being an illustrious institution with an international reputation to protect does not change this. It requires honestly confronting falling standards and recognising that the entire basis of our higher education system is unsustainable and economically crippling a generation. It will take big changes to fix these things one way or another, but it was a constant pressure for change and improvement that created many of the underlying problems in the first place, so what to do?

      Gove himself is a slightly odd character to me, because half of the time I feel like he's the first Education Secretary we've had in years who actually has the guts to stand up and tell it as it is, but the other half of the time I wonder where he dreamt up this or that crazy idea and what he was smoking when he thought alienating this or that major part of the education profession would help.

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    27. Re:You voted them into office, now suck it up. by Anonymous+Brave+Guy · · Score: 1

      With hindsight, that's very clear. If we had done so, we'd be in much the same position as Germany, except that with our economy based strongly (probably much too strongly) on the financial sector rather than robust manufacturing and service sectors, we might have found that position even more uncomfortable.

      At this point, if anything I'd say the opposite is happening: public sentiment that has been questioning the whole EU deal for a long time in some political circles has now become overwhelmingly anti-Europe almost across the board. People see an economic disaster that they don't want any part of, and more than that, they see levels of corruption and governments flailing around unable to fix the problems in ways that make even the most controversial administrations we've had over here in living memory seem almost mild by comparison. Ironically, this might be the one issue that trumps the economy at our next general elections in 2015, which is why all of the major political parties are testing the waters and putting campaign feelers out even now.

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    28. Re:You voted them into office, now suck it up. by BasilBrush · · Score: 1

      And you've drifted off still further into higher education, when I was talking about schools! ;-)

      OK, so an you teach 50% of the population in university to as high a standard as you used to teach 5%. Clearly not. But that doesn't mean that the top 5% that would have gone to university before aren't still getting as good a degree as even before.

      And you are doing a great service to the 45% that previously wouldn't have had the chance of higher education, giving them the opportunity to improve themselves and be the best that they can be.

      Where's the downsides? You get some people complaining that there's not enough plumbers anymore, because all the people that would have gone into plumbing before are now well educated and want something better. However as pathetic as it is, it's not even true, given that there are plenty of Eastern Europeans who are both willing to do plumbing and are very hard workers.

      And you get some employers complaining that a degree isn't worth what it used to be. Well fuck you, universities aren't run for your benefit. Education is for the improvement of the people being educated, not to supply bits of paper as recruitment informational aids for employers.

      In any case that top 5% that used to have bachelors degrees now tend to have gone on to do PhDs.

      But as I said, that's drifted off yet further. Back on the topic of schools, kids now work harder than we ever did at school, and come out knowing more than we did. That's my observation. But it's often different knowledge. No they haven't learned the dates of Kings and Queens by rote as Gove wants. And why the hell should they? What earthly use is that? If by strange quirk they should ever need to know, they have the entire contents of Wikipedia in their pocket. What kids need to be able to do now is to research, to analyse, to calculate, to research, not the regurgitate rote learning as Gove obviously did at school.

    29. Re:You voted them into office, now suck it up. by AmiMoJo · · Score: 1

      It's a question of damage limitation. Most people think that either the Republicans are Democrats are less bad for the country, so they can either vote for the lesser evil and try to keep the greater one out or they can piss their vote away on some alternative candidate who will never amount to anything in the foreseeable future.

      Independents CAN have an influence on policy and politics, just not by being elected. Look at UKIP in the UK. Little chance of getting a single MP, let along into government, but they managed to make one of the main two parties commit to a referendum over EU membership. Totally undemocratic of course, but it is the only way since our system is basically designed to make it a two horse race.

      --
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    30. Re:You voted them into office, now suck it up. by Anonymous Coward · · Score: 0

      In the UK we have almost always considered it an unfortunate misunderstanding, which is why we take little, if any, offence at 4th of July celebrations and are usually happy to join in (a party's a party).

    31. Re:You voted them into office, now suck it up. by Anonymous+Brave+Guy · · Score: 1

      And you are doing a great service to the 45% that previously wouldn't have had the chance of higher education, giving them the opportunity to improve themselves and be the best that they can be.
      Where's the downsides?

      Well, I'm not sure that swapping three years of experience in their chosen vocation and the income and freedom that come with it for three years racking up debts that will burden them for many years afterwards, all on the promise that their degree in some artificial subject will somehow improve their long term prospects, is really doing anyone any favours. I'm all for supporting education for education's sake, and for everyone being educated to the highest standard they are willing and able to reach; I'm not talking about that here. What I'm talking about is pushing young people who could have been successful in another vocation down an academic track paved with false promises.

      I think your claim about people going on to do PhDs is unrealistic, too, FWIW, but let's not get bogged down in that one.

      Back on the topic of schools, kids now work harder than we ever did at school, and come out knowing more than we did.

      Do they? Really? I don't know how old you are or what generation of exams you took yourself, but I was taking GCSEs a couple of decades ago. Looking at the way things have changed, sure, it's good to get past rote learning of facts or recitals of works that ten seconds on their smartphones could find for them. But a lot of the new material that has replaced that rote learning seems to be little more than vague waffle about ill-defined subjects.

      I don't see any signs that kids are developing better mathematical aptitude, only that too many seem to need calculators to do basic arithmetic these days and don't notice obvious errors in results because they seem to have little intuition -- very much the opposite to the claimed changes. Do kids today really spend more time in labs conducting the basic experiments that formed the foundation of today's scientific understanding? Have they gained a better ability to construct a logical argument in maths or write persuasively in English? Do they speak foreign languages with basic conversational fluency and confidence when they go abroad on holiday? Are they aware of pivotal events in history, how they happened, and the lessons we can learn from them? To me, all of these things would be valuable alternatives to rote learning, but none of the school age kids I know give the impression that they're significantly better off in these respects than your or I would have been in our day.

      So while we're in complete agreement about the value of teaching kids to think and research, it seems we might disagree on how effectively these things have been learned under the systems of the past few years, and perhaps I also feel that more textbook knowledge is still useful than you would argue, simply on the basis that without context and examples and a general knowledge of the field it's tough to know where to start. What use is Wikipedia, if you have no idea that a relevant topic exists or what to search for to find it?

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    32. Re:You voted them into office, now suck it up. by tmosley · · Score: 1

      You gave absolutely no clues of such. You could have been talking about any two party fascist state. Nevermind that the exact same thing that is going on in the US is happening in the UK and indeed the entire western world.

    33. Re:You voted them into office, now suck it up. by BasilBrush · · Score: 1

      I was taking GCSEs a couple of decades ago.

      I was doing O Levels a decade or so before that. I'm a couple of years older than Gove. I hardly did any homework, if I did one item a week I'd be surprised. In those days you only had to pass the exam, so laziness followed by a couple of weeks of cramming before the exam worked OK for me. You wouldn't end up with qualifications doing that now.

      Do you ever go into a public Library? I do, and I see kids from the college beavering away. Weekdays and weekends. In a way we never did. We used to call study periods time off, never mind weekends.

      Foreign languages? No one used to cooperate at all in French classes at school. No one could see the point as most couldn't imagine ever living or working abroad. Boy, did I regret that later in life when I lived in France for 2 years. Conversational French? In two years French at School I could ask someone's name and count to 60.

      Now you might just be thinking I was stupid. But I was in the top stream at a grammar school and passed most of my exams. Though obviously not French.

      I don't have kids of my own, but when I talk to kids of my friends, I'm not of the opinion they are less well educated than kids of my era. Quite the contrary. And my nephew and niece are certainly far better educated than my generation of the family was. Just as mine was than the generation before.

      I honestly think that not only is education better these days, kids have access to far more sources of information. Back then if I didn't know something, and I was curious, I had to spend half a day going to the library in the hope of a book that would tell me. These days, anything they want to know they find out straight away. And that makes a big difference. Curiosity is satisfied. And that makes them more knowledgeable.

      I wish people would stop thinking that their particular generation was the pinnacle of learning. It's nonsense. I think in part, people forget how little they knew back in their mid teens. When they find a kid doesn't know something, they're not adjusting properly for all the adult years of experience they have over the kid.

      And then there's the culture war aspect of why some people put "modern", "trendy" education down. But this post is long enough already.

    34. Re:You voted them into office, now suck it up. by cas2000 · · Score: 1

      RE: Plumbers

      dunno how it is in the UK but here in AU, the main reason why there's a shortage of plumbers (and electricians and other tradespeople) is the privatisation of public utilities in the 80s and 90s, including Gas, Water, Electricity and Telephone services. Public Transport like trains and trams, too.

      (I suspect it's similar in the UK because we copied your thatcherite privatisation policies - along with the ideology that it's wrong for government to in any way compete with the private sector, and that any public service that could make money *must* to be sold off cheap to the private sector so that they can make money out of it, with profit going to private pockets rather than for ongoing service provision)

      These were huge government organisations that used to train almost all of the relevant trades apprentices, and then employ them for several years afterwards.

      With privatisation and the introduction of the profit motive and the cost-cutting that goes along with it, they don't train the apprentices any more and they don't employ anywhere near as many tradies either (and many are employed as disposable contractors through outsourcing).

      so, far fewer apprentices are being trained, and far fewer experienced employees are available to train them.

      also, preventative maintainence has been replaced with emergency repairs......repairs are unavoidable when something breaks, but you can put off maintainence for years until something finally breaks and needs repair (cutting service to thousands while repair is in progress isn't important - they're paying anyway)

    35. Re:You voted them into office, now suck it up. by BasilBrush · · Score: 0

      On behalf of my country, I apologise. Personally, I always opposed the bitch, and have always argued that most of the privatisations were a mistake, and some should be reversed. They were nationalised for good reason in the first place.

    36. Re:You voted them into office, now suck it up. by sa1lnr · · Score: 1

      In fact nobody voted for this current UK government, there was no overall majority.

    37. Re:You voted them into office, now suck it up. by sa1lnr · · Score: 1

      "P.S. Just out of curiosity, under what circumstances would you be willing to call the American War of Independence an unfortunate misunderstanding and take us back?"

      Even masochists have to draw the line somewhere. :)

    38. Re:You voted them into office, now suck it up. by Xest · · Score: 1

      "Gove himself is a slightly odd character to me, because half of the time I feel like he's the first Education Secretary we've had in years who actually has the guts to stand up and tell it as it is, but the other half of the time I wonder where he dreamt up this or that crazy idea and what he was smoking when he thought alienating this or that major part of the education profession would help."

      It's because he's part of the Tories farthest right elements, that's the issue. It's incredible because you can lump those elements of the Conservatives in together quite consistently - you have the run of the mill Tories, the normal ones, and then you have the farthest right element of the party which almost unanimously agree on issues such as being anti-Europe and gay being gay haters and so forth.

      But the policies they agree on stretch beyond that, they're completely against any kind of socialism, and in this respect they align well with the US Republicans - they're pro-Atlanticist for this reason.

      So the thing you've got to realise is that Gove isn't standing up to teachers because he has the guts to do so, because it's the right thing, he's standing up to them because ideologically he hates the idea of state run schools, because he hates unions, and because he hates other such leftist notions.

      The fact that in this respect he just happens to be right on some of it is part of the inevitable truth that even the wing nuts will be at least somewhat right sometimes, but they're certainly not right all the time, and not even right most of the time.

      Personally I'm a rather centrist person, it makes sense to me because you can take the good ideas from both sides and ignore the bad - you can have your will for a reduction of the counter-productive and unhelpful attitudes of the teaching unions without having to hate foreigners and hate gay people. You can have you reforms of local government over-indulgence of spending and creation of joke/non-jobs without also wanting to see the NHS gutted and turned private.

      I think all the parties have at least some good ideas, for example, I'm against HS2, because spending £30bn on a scheme to get you to an out of town train station where you then have to spend 30minutes walking/waiting for a connecting transport into the city centre when you could've just used an existing train to get you there in the same time whilst also bulldozing some of our nicest landscapes and destroying or devaluing people's homes makes little sense to me - especially when for a fraction of that cost you could roll out nation wide fibre and spend the rest greatly speeding up local rail infrastructure for an order of magnitude greater net benefit to the national economy. For this reason I think UKIP are the only party who are right about HS2, but I otherwise think UKIP is an abomination that needs to die - the point being that I think even the far right can get it right just every once in a while but therein also lies the problem, because our country is so polarised politically, largely because of the failed undemocratic voting system we use known as first past the post, the parties also have an awful lot of wrong opinions.

      In other words the UK has lost it's centrism, and so we end up with politicians like Gove where the best we can hope for is that just every once in a while, one out of their hundreds of policies just happens, out of simple statistical probability, to be a decent one- a broken clock and all that. Becareful not to interpret that which is essentially coincidence as competence however- it's not. If a wingnut like Gove has got something right, it really is just sheer random chance of the various variables involved in the political calculations in our world colliding in a way that even an extremist can get something right some of the time but will otherwise get most things wrong most of the time.

    39. Re:You voted them into office, now suck it up. by Anonymous+Brave+Guy · · Score: 1

      I think we probably agree on many of the fundamental points here, even if our experience of the effectiveness of the current system and how hard kids are working has been a little different. There's definitely an element of rose-tinted spectacles when we look back to our own time at school, to be sure. I also agree that people should stop thinking their own generation was somehow better academically than anyone else's; I just think that cuts both ways, and the people involved in the system today would do well to acknowledge what may have been lost as well as what may have been gained.

      Anyway, thanks for an interesting discussion.

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    40. Re:You voted them into office, now suck it up. by Anonymous+Brave+Guy · · Score: 1

      I guess my political views aren't quite as passionate as yours on some issues, but I agree that we seem to have forgotten how to be politically moderate and how to balance opposing views and look for the best in each of them. A lot of mainstream politicians talk about being in the centre, but actions speak louder than words, and we have seen a lot of very polarising policies advocated in recent years. I suspect this has a lot to do with 24 hour news cycles and sound-bite PR, but maybe it was always that way and I'm just getting old enough to be cynical about it now. ;-)

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    41. Re:You voted them into office, now suck it up. by strikethree · · Score: 1

      You were very lucky. That low-flying Whoosh! almost took your head off. ;)

      --
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    42. Re:You voted them into office, now suck it up. by Xest · · Score: 1

      Honestly I think more than anything it's because extreme views are also populist.

      For example, it's easy to get the long term unemployed poorly educated lazy angry guy on side by telling him it's all because of the immigrants and how you're going to start blocking all immigrants because he wants someone to blame for his predicament other than himself. This doesn't mean it's actually because of immigrants in practice though, the chances are if you get rid of all immigrants altogether he'll still be a poorly educated lazy angry guy and employers will still find little use for him. The solution is to educate him and do away with his laziness by giving him something to strive for, but it takes too long to educate him and get him on side by making him a clever self-motivated individual compared to just feeding him quick sound bites about immigrants.

      When you have a two party system it's just natural that each is going to tend towards their populist ideas because it turns into a race to the bottom - when the Tories decide to leap to the anti-immigration populist ideal Labour need to respond, so they start up the whole class issue or whatever - "don't vote Tory, they're all rich toffs and aren't interested in you!"

      But I think Europe is where it's been most amusingly/tragically (pick one) illustrated over the years. David Cameron for example has long (and I mean long - way before he was PM) used the EU as a scapegoat, saying it's a cause of the countries problems and so on, it made it easy for him to get votes when he wasn't PM - he could use the populist idea that Europe was a problem and stir up support by (ab)using that scapegoat. The problem is he then became PM, and had to reconcile what he'd said in the past, with the reality that he knows deep down that Europe is essential to the UK's economic health, hence why he went from attacking Europe pre-PM to being reluctant to make any kind of move on it whilst PM, only, somewhere along the line it turns out his party is still full of people who swallow the populist tosh themselves. Ooops.

      Like you say, modern news cycles are a lot to do with it, but I don't think it's ever been much different, I think populism is always where things inevitably descend to, this is why politicians have a reputation as liars - because they do lie, they tell populist lies that they don't even believe themselves to get votes, then when they get in they have to try and disassociate with the populist lies they made up to get in because actually going through with them is untenable. You only have to look at the US' largely two party system and the almost comical political fud you get on the likes of Fox news to see quite how bad things can get when it turns too badly into a populist quagmire of ignorance - think, "Obama isn't an American and has a fake birth certificate" and other such stuff which is a clear play on the idea that Obama is black and has a non Christian name and so can't be American, because that's exactly the sort of deep down racism amongst the ignorant that they're playing on.

    43. Re:You voted them into office, now suck it up. by Anonymous Coward · · Score: 0

      Yeah, but let's all agree that it's worse when the party of higher taxes gives tax breaks to the large companies with executives who also extoll the virtues of higher taxes, than it is when the party of lower taxes, you know, lowers taxes.

  3. they are paying taxes by emilper · · Score: 1

    sales tax wherever they sell stuff, and income tax in some other country

    1. Re:they are paying taxes by Luthair · · Score: 1

      They move the income on paper to countries with 0% corporate taxes.

    2. Re:they are paying taxes by ShanghaiBill · · Score: 1

      They move the income on paper to countries with 0% corporate taxes.

      It is easy to avoid income tax by using accounting tricks to shift profits around. It is far harder to avoid sales taxes, and even harder to avoid payroll taxes, property taxes, etc. Most corporations pay little income tax, but they still pay plenty of other taxes.

      The summary makes the claim that only big companies avoid income tax, but at least in the US, that is false. Most small corporations in the US are S-Corps, which pay no income tax.

    3. Re:they are paying taxes by nogginthenog · · Score: 2

      In the EU sales tax is applied in the source country. Companies like Amazon are often based in countries like Luxembourg because of low sales tax rates. The UK government gets no sales tax from Amazon sales (even though the goods are ordered from a co.uk website and shipped from UK warehouses).

      Amazon must employ plenty of stackers and shippers though.

    4. Re:they are paying taxes by ShanghaiBill · · Score: 3, Interesting

      In the EU sales tax is applied in the source country. Companies like Amazon are often based in countries like Luxembourg because of low sales tax rates. The UK government gets no sales tax from Amazon sales (even though the goods are ordered from a co.uk website and shipped from UK warehouses).

      This makes no sense. In fact, it makes so little sense, that I don't believe it. I just did a Google search on European sales tax (VAT) policy, and several sites, including this one, contradict what you claim. If sales are below a threshold they are based on the shipping country, and if over the threshold they are based on the destination country. At no point are they based on where the company is incorporated, as you claimed.

    5. Re:they are paying taxes by Waffle+Iron · · Score: 2

      Yep, one of the great things is that even though the US and Western Europe have decided they don't want you being productive in their country, there are still countries out there that are much more free.

      It's easy to be "free" when the companies in question aren't actually IN your country. The government-provided services the freeloading companies depend on are paid for by the non-dodging taxpayers of the countries in which the business actually operate.

    6. Re: they are paying taxes by Anonymous Coward · · Score: 0

      They don't pay taxes. You do. The companies collect what you pay and send it to the revenue departments of the variois govt entities.

    7. Re: they are paying taxes by emilper · · Score: 1

      and what is the difference ? you can say the same about income tax paid by Amazon: I am paying it, they just send it to the revenue departments.

    8. Re:they are paying taxes by Anonymous Coward · · Score: 0

      Yeah but they certainly aren't paying the same corporate tax rate as my company. That isn't right. But whatever all hail the job creators if we threaten them with taxes they'll just stop making stuff because they want it all or nothing.

    9. Re:they are paying taxes by emilper · · Score: 1

      maybe it is not right that your company is paying extortionate taxes, not that Google does not pay them.

    10. Re:they are paying taxes by dryeo · · Score: 1

      Here in Canada companies get refunded their sales tax as charging it to them is not fair. They often get sweetheart deals on property tax by threatening to go somewhere else and payroll taxes top out at something like the first $100,000 earned. Also many taxes have been replaced by fees. Buying a $20 toaster or a $200 toaster means paying the same $10 environmental fee.

      --
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    11. Re:they are paying taxes by Scannerman · · Score: 1

      In the EU sales tax is applied in the source country. Companies like Amazon are often based in countries like Luxembourg because of low sales tax rates. The UK government gets no sales tax from Amazon sales (even though the goods are ordered from a co.uk website and shipped from UK warehouses).

      This makes no sense. In fact, it makes so little sense, that I don't believe it. I just did a Google search on European sales tax (VAT) policy, and several sites, including this one, contradict what you claim. If sales are below a threshold they are based on the shipping country, and if over the threshold they are based on the destination country. At no point are they based on where the company is incorporated, as you claimed.

      I've got dozens of Amazon invoices that say different, although to be fair I think they have now stopped this, it was the case for many years.

      The other scam that has now been clamped down on was using the minimum value allowance on taxes for incoming parcels. Used to be if you bought a DVD or CD from Amazon, they would be shipped individually from Jersey in the channel islands. This is nearby (so post is the same) but not in the EU. so no VAT was charged - so that's roughly £2 a package less tax paid. Now this allowance no longer exists - major pain if you want to buy something small from overseas.

      To make this an argument that taxes are too high in the US or UK is nonsense - You want to live in a country with infrastructure it costs money. The problem is that a small country like Luxembourg or Ireland can act as a parasite on a larger economy. taking a small percentage of a large amount.

    12. Re:they are paying taxes by Anonymous Coward · · Score: 0

      Amazon always claims to be shipping you goods from the cheapest possible country. It argues that the fact that the physical goods aren't travelling over that distance is irrelevant. So you buy a book by a UK author, published and printed in the UK, it's sent from a warehouse ten miles away from you in the UK, and Amazon says "Shipped from Luxembourg" and they get away with lower VAT.

      But increasingly Amazon doesn't even need to waste their time with /that/ trick. If you buy music or books electronically, with no physical product delivered, they claim that you effectively came to Luxembourg to buy it, even though none of their people or equipment is in Luxembourg. They pay the Luxembourg government 3% and the governments actually providing the infrastructure they're dependent on nothing whatsoever.

    13. Re:they are paying taxes by Anonymous Coward · · Score: 0

      People often think this sort of thing is harmless to them as individual consumers. But it isn't.

      For example, when some UK banks and UK subsidiary banks went tits up, the UK government rescued them all. Even if it hadn't, the mandatory financial protection means that other banks and financial institutions in London had to pay to keep the ball in the air, unless they all failed (including e.g. HSBC, which has hundreds of billions of dollars of foreign capital) all the little people get paid. So there was no risk of dear old ladies with $10 000 in the bank losing out.

      But the neighbouring offshore islands had the same notional scheme without the practical benefit. Their banks failed too. But there was nobody to prop them up. No multi-billion dollar industries to provide a bail out, the money was just gone. People who'd hoped to skirt around the edges of the law, pay a bit less tax, get away with a few grey area deals, found themselves penniless. Because they were offshore, and there was nothing actually on those islands except a few fishermen and a PO box. Luxembourg doesn't pay for Amazon's Europe-wide distribution and communications infrastructure, that's how it's able to charge 3% tax. But if it did it would be bankrupt tomorrow.

  4. I saw something scary this morning by Anonymous Coward · · Score: 1

    on BBC parliament. Some suited slimeball operating in full corporate bullshit mode, explaining to a panel of MP's why a UK company buying UK advertising from a UK sales team and paying the bill in sterling to a UK bank account somehow doesn't count as a sale in the UK, all the while his fat tax auidtor lackey smiled and nodded along.

    I don't really have a problem with Google knowing more about me than my own mother when I am awash with the blissful fantasy that they are progressive company, run by and for engineers who's general dealings with government are along the lines are "the future is here, deal with it granddad." When I see them acting just like every other multinational, and needing to be reminded several times by the committee chair that their corporate moto is "don't be evil" I suddenly realize that we may have taken our eyes off the ball far too long when it comes to google, and the era of large scale exploitation and manipulation by multinational mega-corps has only just begun.

  5. We need a real tax revolt in the US by MikeRT · · Score: 1

    We need millions of taxpayers, especially small businesses to not only refuse to pay their taxes but dare the government to arrest them for tax evasion until we have a fair and easy to enforce tax code. When I say dare, I mean in the sense of forcing the government to literally go to war or back down and fix the system.

    1. Re:We need a real tax revolt in the US by Ritz_Just_Ritz · · Score: 1

      OK, you go first. I hear they've got 3 hot meals, free boarding, and cable TV in the joint.

    2. Re:We need a real tax revolt in the US by Anonymous Coward · · Score: 0

      Why? I see nothing wrong with paying my taxes.

      While we're at it, you should pay yours, too.

    3. Re:We need a real tax revolt in the US by Waffle+Iron · · Score: 1

      We need millions of taxpayers, especially small businesses to not only refuse to pay their taxes

      Not necessary. The system has already been rigged by propagators of the Laffer curve myth so that the government collects only a small fraction of the taxes necessary to pay for its operation. So you're already not paying most of your taxes.

    4. Re:We need a real tax revolt in the US by Anonymous Coward · · Score: 0

      And why should we have to *pay* for video games! Mom!!!

    5. Re:We need a real tax revolt in the US by HornWumpus · · Score: 1

      'Laffer curve myth'. You are stupid as a rock. Please kill yourself.

      There are two undisputed points on the Laffer curve 0% and 100% both return no money in the medium and longer run. The shape of the Laffer curve is in some dispute, but there is no doubt about the two endpoints.

      The reason why the USA is going to weather the coming mess better then Europe? Our current tax rates are below the maximum revenue point, Europe will only strangle itself when they raise their taxes.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    6. Re:We need a real tax revolt in the US by Waffle+Iron · · Score: 1

      There are two undisputed points on the Laffer curve 0% and 100% both return no money in the medium and longer run.

      Whoa... that's a keen insight, Einstein.

      The shape of the Laffer curve is in some dispute

      You don't say!

      As I pointed out, the problem is that those who believe in a mythical shape that only seems to have a right-hand side have set our tax policy for the last 30 years. With disastrous consequences for our nation.

    7. Re:We need a real tax revolt in the US by HornWumpus · · Score: 1

      If they had more money they would just waste more. The federal government certainly doesn't have a revenue problem.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    8. Re:We need a real tax revolt in the US by Waffle+Iron · · Score: 2

      That's the attitude that I'm talking about, and it's bankrupting this country.

      Except in times of large-scale war or financial panic, the government needs to collect taxes to cover its expenditures. If balancing the budget raises taxes enough to be painful, then people will demand reductions in spending. That's the only way you're going to actually shrink the government.

      Instead, people like you demand tax cuts first. Well, cutting taxes is easy; they've done it again and again in the past few decades. Cutting actual government spending is hard, because no matter what you cut, you're taking away someone's entitlement. So what we get is a stalemate that generates endless deficits, with no solution in sight.

  6. What is with your source by Anonymous Coward · · Score: 0

    Oh Slashdot, you used to actually have some substantive posts. Now... This. What kind of "news" writer wrote that article?

  7. It's the American way by Grand+Facade · · Score: 0

    Don'tcha know.

    --
    Rick B.
    1. Re: It's the American way by Anonymous Coward · · Score: 0

      Except the article is about the UK

  8. Naturally by tmosley · · Score: 0, Troll

    The west as a whole has declined into Fascism. You can only expect fascist policy to take hold.

    1. Re:Naturally by jareth-0205 · · Score: 2

      I don't think that word means what you think it means.

    2. Re:Naturally by tmosley · · Score: 1, Insightful

      Merger of government and corporate power. They are creating a tax that will hurt small and medium businesses, while their burden is cancelled out by grants and subsidies. This is a clear move to use the sword of government to cut down the competition. This is the DEFINITION of fascism.

    3. Re:Naturally by Dins · · Score: 1

      Actually, according to dictionary.com, the definition of fascism is: "a governmental system led by a dictator having complete power, forcibly suppressing opposition and criticism, regimenting all industry, commerce, etc., and emphasizing an aggressive nationalism and often racism."

    4. Re:Naturally by Anonymous Coward · · Score: 0

      If you've been so heavily indoctrinated in your country's propaganda that you can't see how aggressively nationalistic it is, and you don't see how our tax money is used to control which industries and commercial entities prosper at our expense, then you deserve your fascist government.

    5. Re:Naturally by Anonymous Coward · · Score: 0

      Actually, the definition of fascism is: "providing a reference on an Internet discussion board that refutes a fifteen year-old libertarian's definition of a word he is using for a convenient talking point." You sir, are a vicious jack-booted freedom-stomping fascist.

    6. Re:Naturally by tmosley · · Score: 1

      And that is different than our current system, how exactly?

      But of course, I was talking about a specific ACTION, rather than making a statement about the entire system. But you would rather host a pedantry exhibition while America burns.

    7. Re:Naturally by Dins · · Score: 1

      But you would rather host a pedantry exhibition while America burns.

      Yep. That's exactly what I want...

    8. Re:Naturally by XcepticZP · · Score: 1

      There's only one thing worse than an idiot with bad ideologies, and that's a smart person with bad ideologies. Good luck trying to argue with them on any sort of constructive level. Good luck to us all, really. As these morally corrupt intellectuals are dragging us collectively further down the statist hole.

    9. Re:Naturally by Anonymous Coward · · Score: 0

      > And that is different than our current system, how exactly?

      The part about being led by a dictator.

      Oh, and also the part about forcibly suppressing opposition and criticism, regimenting all industry, commerce, etc., and emphasizing an aggressive nationalism and often racism.

  9. Wasn't Amazon for this sales tax? by NotSoHeavyD3 · · Score: 2

    Oh wait, I forgot rule number whatever. "Whenever a rich and important company or person says they're for a tax that should cover them, SURPRISE it ends up covering everybody except them." (OOhh, I'll call it the Buffett Rule.)

    --
    Did you know 80 to 90% of the moderators on slashdot wouldn't recognize a troll even if one dragged them under a bridge.
    1. Re:Wasn't Amazon for this sales tax? by Anonymous Coward · · Score: 0

      "Amazon representatives asked a number of months ago whether San Bernardino would be open to discussions about sharing sales-tax revenue with the company"
      http://online.wsj.com/article/SB10001424052702303640104577436563216715008.html

  10. Ya don't say... by Ritz_Just_Ritz · · Score: 3, Insightful

    Megacorps hiring legions of lawyers, accountants and lobbyists to limit/eliminate their tax liabilities. And politicians sucking up to the money bags whilst feigning outrage for the little guy. I'm shocked....just shocked, I say.

  11. Re:Government didn't earn the money by supercrisp · · Score: 1

    Because the Fed intentional manipulates the market to maintain unemployment? Because the working portion of a person's life is bookended by nonworking portions? Because we don't want to take the people who can't work out behind the barn and shoot them? Aside from those reasons, a lot of government spending, the majority of it, goes to people who are working. The government employs quite a few people, most of whose jobs we'd all agree need to be done.

  12. Re: Government didn't earn the money by Anonymous Coward · · Score: 0

    Lol this guy.

  13. Re:Government didn't earn the money by Anonymous+Brave+Guy · · Score: 1

    The people at Apple and Google worked hard to earn that money, why should it be stolen from them to pay for giveaways to non-workers

    Because while taxation may be tantamount to theft and it may be inherently evil and it may be desirable to minimise it as much as possible, we haven't yet found a more effective way to fund government services, and at least some of the services governments provide are valuable, including to those people at Apple and Google.

    --
    If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
  14. Re:Government didn't earn the money by Anonymous Coward · · Score: 5, Insightful

    Apple and Google enjoy the general public services just like the rest of us. This includes public roads, utilities, postal services. They exist and thrive in a society that is only possible through the strength of an organized nation-state such as the United States of America or Great Britain. This doesn't include any of the subsidies that I'm sure they manage to get or the fact that as a couple of the largest companies in existence, they have the ability to successfully lobby lawmakers.

    While most could agree that tax revenue could probably be better spent these days, the fundamental concept of taxes is not stealing. Taxes are the price of civilization.

  15. Don't You See... by Greyfox · · Score: 1
    Your taxes go to pay for things we ALL need. Like roads, and firemen and teachers. When someone cheats on their taxes, they're cheating ALL of us!

    Ahh ha ha! Why do you guys make me read this shit? They know we're just going to tax the crap out of them to pay for hooker and cocaine parties for Washington lobbyists! Why LIE to them? !#%!WA

    --

    I'm trying to teach myself to set people on fire with my mind... Is it hot in here?

    1. Re:Don't You See... by ShanghaiBill · · Score: 3, Interesting

      Your taxes go to pay for things we ALL need. Like roads, and firemen and teachers.

      Roads are paid for (mostly) by fuel taxes. Fireman and teachers are paid out of local property taxes. Those taxes are fair, reasonable, and almost impossible to avoid. Income taxes, on the other hand, are easy to avoid by anyone who puts some effort into it. I am self employed, have a six figure income and, through completely legal means, I pay no income tax. The problem is not that the system needs some tweaks to close "loopholes", but that trying to tax net productive activity (rather than consumption or ownership) has perverse side effects and is fundamentally unfair. No country has ever made income tax work well.

    2. Re:Don't You See... by Anonymous Coward · · Score: 0

      You're an asshole who screws everyone else in the country.

    3. Re:Don't You See... by Anonymous Coward · · Score: 0

      No, the "assholes" are people like you, who come up with bogus justifications for raising income taxes when you should know that people like him and the rich avoid them. And then to add insult to injury, Obama pays out that money to his backers: bankers, unions, and corporations. The only way to stop this ripoff is to lower federal taxes substantially.

    4. Re:Don't You See... by Anonymous Coward · · Score: 1

      I am self employed, have a six figure income and, through completely legal means, I pay no income tax.

      So your one of those tax dodging cunts that feels it's perfectly fine not to pay tax because you can technically get away with it and you don't agree with the system.

    5. Re:Don't You See... by bobintetley · · Score: 1

      He said he paid no income tax.

      If he's in the UK, he probably has a small limited company and he'll pay himself his personal tax-free allowance as income and the remainder as a dividend. He's still paying 20% corporation tax on the profits, plus 22.5% on dividends that take him over 35k. Not as much as he would have paid in income tax, but he's hardly a non-taxpayer - it's just good planning if you can do it.

      ... or he could be using a tax avoidance scheme where he "invests" all his salary in an overseas scheme who then "loan" the money back to him. In which case, yes, that's pretty dodgy.

  16. What a rubbish article by the+eric+conspiracy · · Score: 1

    Google, Apple and Amazon are not doing anything wrong. They are in business to make money for their stockholders of which many I bet are UK citizens. In some jurisdictions they are legally REQUIRED to operate their enterprises to the best legal advantage of their stockholders.

    Those UK citizens pay taxes on the dividends and capital gains they realize from owning stock in these companies. Not only that but these companies provide extremely useful services to UK citizens thereby enriching their lives.

    They ALSO employ many people who ALSO pay taxes on their wages, and by being employers relieve the state from having to pay for the upkeep of these people who would otherwise be on the dole.

    Not only that but there are other taxes on value added transactions that result from the economic activities involved. Consumption based taxes are generally viewed to have the least negative impact on economic growth of any taxes.

    Then of course there is the whole question of the macroeconomics of the situation. It is generally held that taxes on businesses are inefficient in terms of encouraging economic growth. Such policies are not productive overall to the economy. This is why business taxes in Europe are generally relatively low. It is conscious sound policy decision based on scientific analysis of the economic facts.

    http://ec.europa.eu/europe2020/pdf/themes/02_taxation.pdf

    In other words this is a completely RUBBISH article in every way possible.

    1. Re:What a rubbish article by ebno-10db · · Score: 3, Insightful

      Google, Apple and Amazon are not doing anything wrong.

      Well, they're not doing anything illegal. And that's the crime, that the government can be bought (and cheaply). I can't speak in much detail for the UK, but in the US the Supreme Court has taken "money is speech" (true only in a limited way and in limited circumstances) to absurd extremes. The logical conclusion is that me handing a politician a briefcase stuffed with unmarked non-sequential $100 bills is protected free speech.

    2. Re: What a rubbish article by Anonymous Coward · · Score: 1

      Except that Amazon is competing with other businesses that DO pay tax.

      They're using lobbyists to to get to government grants on the one hand and shady accountants to effectively launder their cash on the other.

      Their motto might as well be take all you can give nothing back.

    3. Re:What a rubbish article by Anonymous Coward · · Score: 0

      That's you're opinion.

      And you're free to have it.

      But it also means you're likely an authoritarian follower if you are honestly capable of turning a blind eye to the MANY flaws in your thinking in order to construct a plausible fantasy for yourself.

      That is, your parents missed out on the updated genetics before installing your brain. Society is currently crashing as a result of too many buggy humans running around spouting similar nonsense.

      Maybe we'll get it right after nearly everybody is dead. We'll have to see if we can't weed the garden a little better next time. I doubt it, though. Stupidity seems to be a very persistent genetic flaw.

    4. Re:What a rubbish article by Anonymous Coward · · Score: 0

      So your argument is an ad hominem attack done anonymously.

      You are a complete asshole.

    5. Re: What a rubbish article by the+eric+conspiracy · · Score: 1

      > They're using lobbyists to to get to government grants on the one hand and shady accountants to effectively launder their cash on the other.

      If British citizens object to what Amazon is doing they are free to change the tax laws.

      Blaming Amazon for the results of the UKs laws and government polices is complete rubbish.

    6. Re:What a rubbish article by the+eric+conspiracy · · Score: 1

      A logical conclusion? Supported by what logic? The act that you describe is quite illegal and is not covered by the Citizen's United decision.

    7. Re:What a rubbish article by ebno-10db · · Score: 1

      A logical conclusion? Supported by what logic? The act that you describe is quite illegal and is not covered by the Citizen's United decision.

      It's a reductio ad absurdum of the court's emphasis on the "money is speech" consideration to the exclusion of almost any other consideration.

      And have no doubt that the court is very zealous in its legislating from the bench along these lines. The original complaint in Citizen's United was reasonable and I could see a decision for the plaintiff. But the "conservative" majority, which supposedly believes in ruling on narrow grounds where possible, supposedly opposes judicial activism, and violated the principle that courts only hear complaints brought before them, basically told the plaintiff to go back and present a case on much broader grounds so they could rule in its favor. Even if you agree with the decision, procedurally it was crooked as hell.

    8. Re:What a rubbish article by Anonymous Coward · · Score: 0

      So your argument is an ad hominem attack done anonymously.

      You are a complete asshole.

      That's subjective. However, I am very likely correct in my assessment of the parent poster because "Authoritarian Follower" is a technical term which can be matched to a behavioral criteria.

      Perhaps you should look up, "Authoritarian Follower" and read as much as you can about it and all the connected issues. You'll find that it matches his posting behavior.

      "Ad hominem" would be calling somebody an asshole.

      But anybody who has been posting for a long time on Slashdot who can't figure that out is probably not actually capable of figuring that out. A whole lot of stupid going around these days... The race is infected, I tell ya!

    9. Re:What a rubbish article by 91degrees · · Score: 1

      The UK doesn't have a constitutional clause on freedom of speech. There is the Human Rights Act, which does take precedence over subsequent legislation (nit sure in the details - ask a legal expert), but freedom of speech is expected to be balanced against other rights in the act, and there are certain exceptions so it's nowhere near as absolute as the US first amendment. As such, campaign limits are perfectly legal in Britain.

      It's bizarre how far the US has allowed this to go. I can understand that if a politician has a policy that will allow your company to benefit it makes sense that you'd want to help that politician win. It makes sense that you can announce the sort of policy that your company would support. But when it comes to the company going up to politicians and offering to support them on specific conditions, it's hard to see how this differs from bribery.

    10. Re: What a rubbish article by serviscope_minor · · Score: 1

      If British citizens object to what Amazon is doing they are free to change the tax laws.

      What on earth do you think all this fuss is about?

      Blaming Amazon for the results of the UKs laws and government polices is complete rubbish.

      Legality is not the same as etical and of course I will blame my fellow humans for doing something unethical. Do youbelieve that the pursuit of money should absolve one from immoral and unethical acts?

      --
      SJW n. One who posts facts.
  17. Typo in Headline by Anonymous Coward · · Score: 1

    Just wanted to point out that as of right now the headline says "Goverment", an obvious typo that any dim-witted person should have caught.

    The laziness and sloppiness of the content is typical slashdot.

  18. Taxes, like laws, are for little people. by girlinatrainingbra · · Score: 1

    So it would seem that taxes, like laws, are for little people. Whereas writing the specs for the laws and the taxes, well that's for the corporations (which are people!) and for the special 1% big people. Well, no one said life was going to be fair, did they? :>)

  19. Yes pity the small firm by GrumpySteen · · Score: 1

    Small firms have it so rough and they deserve our pity, even though they have lobbyist groups like Confederation of British Industry who will make sure that small firms don't have to make up for the loss in tax revenue.

    Fuck the people who lose out on services and have to pay higher taxes to make up for the lack of revenue, though. Those people clearly don't deserve pity because they aren't a business or corporation. Only businesses deserve our pity.

  20. The government are doing it wrong. by Richard_at_work · · Score: 5, Insightful

    I've been following this whole shitfest in the UK quite closely for the past few months, and one amusing thing has consistently struck me - the government are trying to be the goody-goody party in all of this, claiming that the companies involved are being evil and ethically corrupt when it comes to "fair share" taxation, while at the very same time flat out refusing to acknowledge that those companies are not doing anything illegal under the current tax regime.

    The government also has ruled out changing the tax law to prevent the current behaviours,because then they lose the trivially easy PR they get from "taking the companies to task" infront of Parliament and the media.

    It's time to admit that the current tax law doesn't work once you are above PAYE (that's the government standard taxation for employees - normal people in the UK do not have to do any filings because it's all done by the HMRC for them and tax is taken out of their pay checks each month).

    Setting up a company in the UK costs about $40. Doing annual returns for that company costs about $350. By working for that company for no wage, and taking out directors dividends, you save serious amounts of money through not having to pay income tax as the Corporate tax rates are significantly smaller than the income tax rates. This scheme is so heavily and widely used, even MPs in all parties got shamed earlier this year when they were named using it - but it's still completely legal.

    No one should be expected to voluntarily pay more tax than they legally are required to, and no one should be shamed for not paying more tax than they are legally required to - if you want someone to pay more tax than they are legally required to, then legally require them to pay more tax! Don't beat around the bush, change the fucking law.

    1. Re:The government are doing it wrong. by luther349 · · Score: 0

      the problem is if we change are tax code to say a flat tax or a fair tax they would have to pay there taxes to and dear god no dont hol them to the same level as everyone else your a evil devil worshiping terrorist saying that.

    2. Re:The government are doing it wrong. by ickleberry · · Score: 0

      The common scam here in Ireland (and also UK) is that the likes of Google, Starbucks, Microsoft companies set up over here pay large "fees" to their parent company in the US in return for being allowed to be part of the parent company.

      Its a loophole that the likes of Google in Europe are essentially being run as a franchise. You are allowed to write off your franchise 'fees' as being operating costs so you pay no tax on them. So Google Ireland Ltd. might pay several billion a year to Google US for their "google license". Its more complicated than that though, there are various intermediate companies involved on the Cayman Islands and what have you to further reduce the tax burden. All completely legal. We're being scammed

      The common argument in favour over here is "but these companies are providing money to the economy, employing people, etc." but it isn't really fair. If I set up a company in Ireland I would have to pay lots of tax and have lots of regulation to comply with but these sh1tbags like GOOG get away with it because (a) They're big and can threaten to leave Ireland and (b) They can afford to pay their accountants to suss out the best tax avoidance scheme. So Google aren't really carrying their weight but even the govt is afraid to challenge them by changing the law.

    3. Re:The government are doing it wrong. by PPH · · Score: 1

      That's funny. Because many US companies move their intellectual property overseas to low tax regimes (like Ireland). And then they 'charge' their US divisions fees (deductible from US income) for the use of that IP.

      How did they move billions of dollars of property out of US? If I try to haul more than $10,000 in cash (diamonds, securities, whatever) undeclared across the border, Customs will have my ass.

      --
      Have gnu, will travel.
    4. Re:The government are doing it wrong. by stenvar · · Score: 1

      And if you think along those lines a little further, you'll see that you will never get a fair taxation system. What you can do is reduce the damage that the current system does by reducing its impact to the necessary minimum. If income, corporate, and capital gains taxes were all set at a flat 15% with no deductions, this would matter much less. Of course, government expenditures would have to be reduced and currently free services replaced with fee-for-service institutions.

    5. Re:The government are doing it wrong. by Anonymous Coward · · Score: 0

      This is about corporation tax, not the tax advantage from payment via dividends Vs salary. In any case we can just as easily argue the contrary -- if you are the sole proprietor of a small business how is it fair you should be expected to pay both corporation tax and income tax?

    6. Re:The government are doing it wrong. by itsdapead · · Score: 2

      I've been following this whole shitfest in the UK quite closely for the past few months, and one amusing thing has consistently struck me - the government are trying to be the goody-goody party in all of this, claiming that the companies involved are being evil and ethically corrupt when it comes to "fair share" taxation, while at the very same time flat out refusing to acknowledge that those companies are not doing anything illegal under the current tax regime.

      This is just the government playing to the peanut gallery. If it was easy to change the law without breaching international treaties, pissing off lots of party donors and making the tax code even more labyrinthine than it already is (then watching ninja accountants find brand new loopholes and wheezes) then it would have been done years ago. So, they just wheel in a few high-profile household name firms, give them a public handbagging, maybe shame them into handing over a few bottle caps and bits of knotted string, so it looks as if they're getting tough on the issue, then.... crickets.

      Of course, its not worth doing the same to the legion of more obscure companies doing the self-same thing (who, together, must have far more turnover than this handful of big names) because they don't have the same headline-grabbing power.

      Meanwhile, they're offering tax breaks to Disney for filming bits of the new Star Wars films in the UK. That's good - I'm sure that there's no way that Disney is going to make a brass farthing out of this obscure little arthouse flick if they don't get government support. Of course, if Disney didn't get the tax breaks, I'm sure they can build a lens flare machine in Canada, New Zealand, Grand Fenwick or somewhere and piss on our childhood heroes from there.

      Trouble is, in this globalised world, governments don't have the power they once did.

      Not saying I like what Google or Amazon or Starbucks are doing... just that they are the high-profile tip of an iceberg that isn't going to go away any time soon.

      --
      In a survey of 100 programmers, 111111 thought that duck-typing was a good idea.
    7. Re:The government are doing it wrong. by Anonymous Coward · · Score: 0

      Your post makes no sense. The point of offshore companies is to reduce US taxes and instead pay taxes in a cheaper locale. Paying fees to the US company would result in the opposite of that. Lower taxes offshore, and US taxes on the fees.

    8. Re:The government are doing it wrong. by AmiMoJo · · Score: 3, Informative

      I guess you haven't been following it as closely as you think you have because Vince Cable's excuse was that Google is not doing anything illegal.

      The simple fact is that the Tory party does not want to close these loopholes because many of their friends make use of them. They make some noise about it, go on Radio 4 and Newsnight and announce it in the Commons, but are careful not to really do anything.

      The problem with only paying what the law requires is that these companies then arrange their corporate structure to avoid paying almost anything, against he spirit of the law. It then becomes a game of cat and mouse, except that parliament moves so slowly the mouse always finds a new hole to dive down as soon as there is talk of closing the old one off. You can't easily legislate to make them pay more tax, although it looks like the EU might have found a way to do it if every country acts simultaneously.

      Maybe the last line of any tax law should be "no funny games".

      Oh, and don't forget Google did actually lie. They said there were no sales done in the UK, yet most of their staff list sales as part of their duties on their CVs and in their job titles.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    9. Re:The government are doing it wrong. by Anonymous Coward · · Score: 0

      ... Corporate tax rates are significantly smaller than the income tax rates ...

      This is not so in Australia. Plus there are rules on 'being a contractor' that make corporate-hood less appealing to most employees.

    10. Re:The government are doing it wrong. by Anonymous Coward · · Score: 0

      No, his post makes absolute sense, you just need to move the endpoints:

      Awesome search Cayman division owns the IP

      Awesome search US pays 10 trillion a year to Awesome search Cayman division for IP rights, leaving 0 to be taxed
      Awesome search UK pays 1 trillion a year to Awesome search Cayman division for IP rights, leaving 0 to be taxed

      Awesome search Cayman division pays the local tax rate (0%) on 11 trillion.

    11. Re:The government are doing it wrong. by Anonymous Coward · · Score: 0

      What you wrote is the opposite of what he wrote. That is why yours makes sense.

    12. Re:The government are doing it wrong. by Anonymous Coward · · Score: 0

      Setting up a company in the UK costs about $40. Doing annual returns for that company costs about $350. By working for that company for no wage, and taking out directors dividends, you save serious amounts of money through not having to pay income tax as the Corporate tax rates are significantly smaller than the income tax rates. This scheme is so heavily and widely used, even MPs in all parties got shamed earlier this year when they were named using it - but it's still completely legal.

      Actually, at least on paper you're supposed to pay the same tax whether you get paid directly or via a shell company, because the IR35 rules divorced employment status for tax purposes (which just depends on the nature of the work done) from employment status for legal purposes (which is what changes when you use a shell company). Using a shell company only helps if you get your money from multiple short-term contracts, in which case you're considered a business with multiple clients rather than a person with multiple employers.

    13. Re:The government are doing it wrong. by Anonymous Coward · · Score: 0

      I've been following this whole shitfest in the UK quite closely for the past few months, and one amusing thing has consistently struck me - the government are trying to be the goody-goody party in all of this, claiming that the companies involved are being evil and ethically corrupt when it comes to "fair share" taxation, while at the very same time flat out refusing to acknowledge that those companies are not doing anything illegal under the current tax regime.

      Well you can't have been following that close. Every time they spoke a politician about it, it was always the same "Yes, well we know it's not fair but technically they're not breaking the law and we can't/won't change the law so....shit one".

  21. Re:Government didn't earn the money by gnasher719 · · Score: 4, Insightful

    Good for Apple and Google. The government didn't earn the money they want to take. The people at Apple and Google worked hard to earn that money, why should it be stolen from them to pay for giveaways to non-workers?

    For example, the government pays for police that will arrest people going to an Apple Store with guns and taking whatever they want.

  22. Dubious. by mike260 · · Score: 1

    Despite moves by government to get Google, Amazon and Apple to admit they make sales in the UK and US, and therefore should pay tax on these earnings [...]

    Tim Cook seems to claim the opposite:

    I can tell you unequivocally Apple does not funnel its domestic profits overseas. We don't do that. We pay taxes on all the products we sell in the U.S., and we pay every dollar that we owe.

    So is he a bare-faced liar, or is the article summary bollocks? Sources please.

    1. Re:Dubious. by gnasher719 · · Score: 3, Informative

      So is he a bare-faced liar, or is the article summary bollocks? Sources please.

      Given the choice "X, or the article summary is bollocks", the correct answer is _always_ "the article summary is bollocks". You should know that.

      Now the truth is that Apple is indeed not funnelling domestic profits overseas. What they are doing, they are keeping overseas profits overseas.

    2. Re:Dubious. by Anonymous Coward · · Score: 0

      He's a corporate officer - that makes him incapable of telling the truth - it's just not possible.

  23. 19th Nervous Breakdown 2013 ed. by Anonymous Coward · · Score: 0

    Your employer who neglected you owes a million dollars tax
    And their rival's still perfecting ways of cooling server racks
    You better stop; look around
    Here it comes, here it comes, here it comes...

  24. This is proof that.. by houbou · · Score: 1

    Democracy and Capitalism do NOT mix.

    1. Re:This is proof that.. by ebno-10db · · Score: 1

      Unfortunately neither do democracy and full-blown socialism, because the government owning all the means of production would give it limitless power. In the real world, the best we can do is a compromise. I do agree that these days it's clear which way the "compromise" is leaning.

    2. Re:This is proof that.. by Anonymous Coward · · Score: 0

      Well, you can call it fascism, or you can call it socialism, but the US Govt., effectively, owns at least the publicly traded means of production. Admittedly, it does get somewhat incestuous when you consider the question of who owns the US Govt. That would seem not to be the People, not for a long time.

      Nothing close to free market capitalism, for sure. Whether googletech (note lowercase) + plus the bloated monstrosity above could morph into some kind of Mutualistic (note the upper case) workable implementation or alternative is another question, but an interesting one.

    3. Re:This is proof that.. by Gaygirlie · · Score: 1

      As unpopular as it is, I am in favor of dictatorship as long as the dictator is a benevolent one who actually cares about the well-being of the common folk.

    4. Re:This is proof that.. by ebno-10db · · Score: 1

      the US Govt., effectively, owns at least the publicly traded means of production

      That's completely backwards. It doesn't get "incestuous", rather the means of production (or the owners thereof) control the government.

      Nothing close to free market capitalism, for sure.

      No, it isn't. And while you didn't say otherwise, I'd like to say that capitalism doesn't require "free markets" (a term that's largely meaningless because it's so broad that people can "refine" the definition to be almost anything).

    5. Re:This is proof that.. by ebno-10db · · Score: 1

      As unpopular as it is, I am in favor of dictatorship as long as the dictator is a benevolent one who actually cares about the well-being of the common folk.

      Are you serious, or is my sarcasm detector out-of-whack?

    6. Re:This is proof that.. by dryeo · · Score: 1

      Socialism can be the people owning the means of production directly rather then through the government.
      Examples of capitalism vs socialism include banks vs credit unions, co-op utilities vs AT&T, Enron etc. Lots of small businesses vs a couple of large businesses also seem closer to socialism then what we have now.

      --
      https://en.wikipedia.org/wiki/Inverted_totalitarianism
  25. Re:Government didn't earn the money by stenvar · · Score: 0

    Because the working portion of a person's life is bookended by nonworking portions?

    Yup. You save for your retirement and pay for your kids. It's not the government's responsibility.

    Because we don't want to take the people who can't work out behind the barn and shoot them?

    Covered by insurance too; not a government function.

    Aside from those reasons, a lot of government spending, the majority of it, goes to people who are working. The government employs quite a few people, most of whose jobs we'd all agree need to be done.

    Really? We all agree? My guess is that there are plenty of reductions possible, starting with the military, the DEA, and the DHS.

    Because the Fed intentional manipulates the market to maintain unemployment?

    Oh, take of your tinfoil hat. The Fed is a bunch of bumbling idiots; they couldn't "maintain unemployment" if they tried.

  26. Re:Government didn't earn the money by stenvar · · Score: 4, Insightful

    Apple and Google enjoy the general public services just like the rest of us. This includes public roads, utilities, postal services.

    They pay for those directly through property taxes, and indirectly through payroll taxes, proportional to what they use. Corporate income tax is not used for any of that. And they mostly use private shipping companies for their products.

    Taxes are the price of civilization

    Just because some taxes are reasonable and necessary doesn't mean that any/all of them are.

  27. Re:Government didn't earn the money by ebno-10db · · Score: 3, Funny

    The people at Apple and Google worked hard to earn that money, why should it be stolen from them to pay for giveaways to non-workers?

    I think it should be stolen from them because I'm what these days is called a fanatical pinko (formerly known as an Eisenhower Republican).

  28. movetoamend.org by Anonymous Coward · · Score: 0

    Time to end corporate citizenship - a federal judge has already ruled that corporations are not citizens, therefor do not have the same protections under the law as citizens do.

    Join move to amend, end their citizenship, end spending money as a form of speech, end our government sellout.

    1. Re:movetoamend.org by PPH · · Score: 2

      You miss the point about citizenship. Its not a privilege, its a burden. As a citizen, the government can require certain things of you. As a non citizen, they cannot.

      --
      Have gnu, will travel.
  29. Re:Government didn't earn the money by Kohath · · Score: 0

    While most could agree that tax revenue could probably be better spent these days, the fundamental concept of taxes is not stealing. Taxes are the price of civilization.

    Taxes aren't stealing. Taxing person A to pay for giveaways to person B is stealing.

    Civilization is roads and fire protection and water treatment and courts, not monthly checks and giveaways to non-workers.

  30. misleading article by jbmartin6 · · Score: 4, Informative

    The article doesn't say, but it appears that when it says "tax" it is referring to *income* tax. For some reason, a lot of people forget that corporations, unlike people, pay income tax on NET rather than gross. In other words, the corporation pays all of its expenses, then pays income tax on what is left over. Those expenses include your salary, your benefits, new capital projects, and so on. Meanwhile, the real tax burden of the organization is much higher when you add in all the other taxes they are paying: sales tax, property tax, tariffs, and so on. The story that these corporations aren't paying very much in "taxes" is a gross distortion. They just aren't paying very much in income taxes, which is by design.

    --
    This posting is provided 'AS IS' without warranty of any kind, implied or otherwise.
    1. Re:misleading article by Anonymous Coward · · Score: 0

      For some reason, a lot of people forget that corporations, unlike people, pay income tax on NET rather than gross. In other words, the corporation pays all of its expenses, then pays income tax on what is left over.

      And everyone knows that Amazon, Google, and Apple aren't making much money after covering their costs, right.

    2. Re:misleading article by jbmartin6 · · Score: 1

      Cost and expenses aren't equivalent. Expenses include expansion, new goods and services, research. All the things that create wealth. The idea of the different tax structure is to encourage that sort of investment.

      --
      This posting is provided 'AS IS' without warranty of any kind, implied or otherwise.
    3. Re:misleading article by Anubis+IV · · Score: 1

      Actually, Amazon really isn't making that much money once they cover their costs. They were in the red for the last quarter or two, as I recall. They may be bringing in a lot of money, but that's because they go for the razor-thin margin/high volume approach that Walmart exemplifies, and those margins haven't been sufficient to cover all of their costs recently.

    4. Re:misleading article by dryeo · · Score: 1

      I don't think anyone has a problem with corporations paying taxes on their net after subtracting real expenses. The problem is that, eg Google UK pays 10s of billions to Google Cayman Islands for the use of the name Google bringing their expenses up above their gross so they can apply for tax benefits instead of paying taxes. On paper they lost money but Google International made huge profits and Google International owns Google UK and Google Cayman Islands outright.

      --
      https://en.wikipedia.org/wiki/Inverted_totalitarianism
    5. Re:misleading article by sociocapitalist · · Score: 1

      The article doesn't say, but it appears that when it says "tax" it is referring to *income* tax. For some reason, a lot of people forget that corporations, unlike people, pay income tax on NET rather than gross. In other words, the corporation pays all of its expenses, then pays income tax on what is left over. Those expenses include your salary, your benefits, new capital projects, and so on. Meanwhile, the real tax burden of the organization is much higher when you add in all the other taxes they are paying: sales tax, property tax, tariffs, and so on. The story that these corporations aren't paying very much in "taxes" is a gross distortion. They just aren't paying very much in income taxes, which is by design.

      Nonsense. The concept of corporate income tax exists and therefore is meant to be collected.

      Corporations are using a loophole that allows them to declare their revenue offshore to avoid paying taxes. If an individual did the same thing, they would be guilty of tax evasion but it's legal for corporations because, unlike individuals, they aren't required to declare their global revenue / profits regardless of where they are resident (as individual US citizens are).

      Individuals pay sales tax, property tax, tariffs and so on as well. In fact, these large companies negotiate with states and cities to not have to pay such taxes in exchange for locating there and bringing jobs. Not a bad trade, as such things go, but it goes against your assumption that they pay such taxes.

      --
      blindly antisocialist = antisocial
    6. Re:misleading article by jbmartin6 · · Score: 1

      I never said corporate income tax was not meant to be collected, nor did I say it wasn't collected. I said corporations didn't "pay much" in income tax. I grant that is rather subjective, but it is still non-zero.
      I challenge you to find a corporation that is paying ZERO in taxes, which is the phrase the article used. Regardless of localized sweetheart deals or incentive abatements or whatever, they are still paying fees, sales or VAT tax, and many more. Hence my retort that claiming a corporation pays "zero in taxes" is a gross distortion. Whether or not they should be paying more, or be allowed to structure in such a way to avoid paying certain taxes, is a different discussion.

      --
      This posting is provided 'AS IS' without warranty of any kind, implied or otherwise.
    7. Re:misleading article by sociocapitalist · · Score: 1

      I never said corporate income tax was not meant to be collected, nor did I say it wasn't collected. I said corporations didn't "pay much" in income tax. I grant that is rather subjective, but it is still non-zero.

      You said that it was by design. I'm saying otherwise :-)

      I challenge you to find a corporation that is paying ZERO in taxes, which is the phrase the article used.

      "Despite reporting net income of $30 billion over the four-year period 2009 to 2012, Apple Operations International paid no corporate income taxes to any national government during that period,"
      http://online.wsj.com/article/SB10001424127887324787004578495250424727708.html

      In 2011, another Ireland-based Apple unit, Apple Sales International, which sells iPhones, iPads MacBooks and other products to overseas distributors, recorded $22 billion in pretax earnings but paid just $10 million in taxes, investigators found. That works out to a rate of about .05%.
      http://online.wsj.com/article/SB10001424127887324787004578495250424727708.html

      "In April, Amazon was revealed to be routing its UK sales through its European headquarters in low-tax Luxembourg, meaning that last year its UK corporation tax bill was nil, despite revenue of £3bn from the sale of books, DVDs and other goods."
      http://www.independent.co.uk/news/business/news/good-bean-counters-starbucks-has-paid-no-tax-in-uk-since-2009-8212579.html

      "Most of Google’s revenues in Europe are booked in Dublin, then shifted via royalty payments to a Dutch subsidiary, before whatever is left is recognised as profits by a subsidiary in Bermuda, which levies no income tax."
      http://www.economist.com/news/business/21568432-starbuckss-tax-troubles-are-sign-things-come-multinationals-wake-up-and-smell

      Regardless of localized sweetheart deals or incentive abatements or whatever, they are still paying fees, sales or VAT tax, and many more. Hence my retort that claiming a corporation pays "zero in taxes" is a gross distortion. Whether or not they should be paying more, or be allowed to structure in such a way to avoid paying certain taxes, is a different discussion.

      Shrug. So close to zero as to be zero for all intents and purposes.

      Individuals pay 'fees, sales or VAT tax and many more' as well and so what? This is not a valid reason to not pay income taxes.

      With regard to these...companies don't pay VAT - they collect it from their customers and for what they do pay they have the right to claim it back from the government. Sales tax in the US on what they buy for themselves, yes. Not sure what fees you're talking about.

      End result is that individuals are carrying the tax burden at all levels, not corporations.

      --
      blindly antisocialist = antisocial
  31. Not about apple by Anonymous Coward · · Score: 1

    This article is about google and amazon in the UK. In an attempt at link baiting, there is a single line about apple in the US in the article so they would write Apple in the headline for clicks.

    And slashdot fell for it - and so did I.

    1. Re:Not about apple by Macthorpe · · Score: 1

      This article is about google and amazon in the UK. In an attempt at link baiting, there is a single line about apple in the US in the article so they would write Apple in the headline for clicks.

      And slashdot fell for it - and so did I.

      Actually the summary refers to the fact that Apple do this too.

      Just because it's not specifically mentioned in the linked article, doesn't mean it's not happening.

      --
      "It does not do to leave a live dragon out of your calculations, if you live near him." - Tolkien
  32. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    While most could agree that tax revenue could probably be better spent these days, the fundamental concept of taxes is not stealing. Taxes are the price of civilization.

    Taxes aren't stealing. Taxing person A to pay for giveaways to person B is stealing.

    Civilization is roads and fire protection and water treatment and courts, not monthly checks and giveaways to non-workers.

    Don't forget the government subsidies that pays people to have kids. As a single person, I don't mind paying for infrastructure, including schools, through taxes but when you take my money and give it as deductions to people who have decided to have children then it is the same thing as a giveaway.

  33. Good! Time to stop this legalized theft ("Taxes"). by Anonymous Coward · · Score: 0

    Good! Every business should learn from these companies and do the same. Hopefully it will eventually end the legalized theft/extortion which statists call "taxes".

  34. Re:Government didn't earn the money by mike555 · · Score: 0

    +1. Every business should learn from these companies and do the same to hopefully end some day the legalized extortion statists call "taxes".

  35. So? by Anonymous Coward · · Score: 0

    *Shrug*

    So, now Google and Apple are the new robber-baron bogeyman scapegoats for the politicians. They don't deserve compensation for dubious honor of such a noble self-sacrifice in service to humanity? :-)

    Just read a scaremongering article about the creepier aspects of Google-enabled, well, everything. For the record, it's not Google that's creepy to me, or, I think, to anyone else. It's the tech itself, or what the fact that it scares people tells us about ourselves individually, and collectively, on conscious and unconscious levels. It's going to take us a long time to adjust to it, but the cows are out the gate now, and there's no getting them back now, except at a cost too horrible to contemplate. Some say at a cost too past due to avoid, but that's another story that Mr. Heinlein covered elsewhere. Or, some say, Revelations. Or others, some other apocalyptic, prophetic, Wellsian vision. Morlocks and Eloi. Or the Runts of 61-Cygni C, maybe.

    You really have to give Google credit for at least trying to keep things on a positive note, in fact. And it's not just Google, or Apple. This one, or that one. Lot of old-school usual suspects are getting to fly in under the radar while the high-profile tech companies get the heat.
    What about, oh, say, IAC, or all the other click-tracking and media companies, eh? The ones that put all those crap toolbars and BHOs on Windoze boxes and Firefox, Chrome, etc. You know, all that spyware, adware, and Trojan installing malware that would be called a criminal botnet if you or I suckered anyone into installing them. All you techs who spend your days cleaning up this dreck know what I'm talking about. MyWebSearch, Ask.com (Oracle, what the hell were you thinking???) etc, etc, etc. But, it's publicly traded, so it can't be a crime, right? By definition. And therein lies the problem, the key to everything. Maybe I'll take that up at another time, or another place. Just saying that the problem really aint whether Google (or Apple, or whatever) is good or evil. Save that for the rubes, please.

  36. Re:Government didn't earn the money by tqk · · Score: 2, Informative

    The people at Apple and Google worked hard to earn that money, why should it be stolen from them to pay for giveaways to non-workers

    Because while taxation may be tantamount to theft and it may be inherently evil and it may be desirable to minimise it as much as possible, we haven't yet found a more effective way to fund government services ...

    Yes we have, long ago. We did it ourselves; often poorly or with spotty coverage, I agree, but certainly not at the price gov't charges for it. I'm not even speaking of the monetary price here either. Unfortunately, our parents and grandparents got lazy and drank the big gov't Koolaid, and we've been enslaved to it ever since, going in deeper with each succeeding generation.

    Perhaps our great grand-kids will fix it.

    --
    "Tongue tied and twisted, just an Earth bound misfit ..." -- Pink Floyd.
  37. Re:Government didn't earn the money by ColdWetDog · · Score: 1

    You've got the wrong burr up your butt.

    The money we give to large corporations though 'incentives', policies, military support, unneeded contracts and a host of other subsidies makes all of those 'welfare queens' that you're so worried about less important than a rounding error.

    Let the little stuff slide. Deal with important things first.

    --
    Faster! Faster! Faster would be better!
  38. I think there is an issue being ignored by doginthewoods · · Score: 0

    which is, most countries tax profits made within their borders. That is, if Google made money in France, then they must pay taxes in France. So, demanding that these companies pay taxes twice, on the same overseas profits, is not reasonable. Which, IIRC, was the point of why the tax exception was written that way.

    --
    Republican leadership = Idiocracy
    1. Re:I think there is an issue being ignored by PPH · · Score: 1

      The way it actually works is: You make money in France. You pay France 25% of your profits (I'm just pulling numbers out of my *ss. Bear with me.) But the US tax rate is 35%. You get a credit for that 25% paid but you still owe 10% to the US govt.

      Why? The USA didn't have anything to do with your profits earned in France. So you move your corporation to a low tax jurisdiction. You pay France 25% of your French profits. You pay the USA 35% of your US profits (but only those earned in the USA). And all the looters in the US scream about you stealing 'their' taxes.

      --
      Have gnu, will travel.
    2. Re:I think there is an issue being ignored by dryeo · · Score: 1

      While you have a valid point, here we're talking about (numbers etc pulled from my ass) Google France making a Billion after the usual expenses but then they pay Google Cayman Islands a Billion for the use of the Google name bringing Google Frances profits down to zero so they don't pay any tax. Meanwhile as there is no tax in the Cayman Islands, Google Cayman Islands makes huge profits.
      It's more complicated and there are more steps but basically it is a game of creating fake expenses to avoid having a profit in countries that charge tax on profit.

      --
      https://en.wikipedia.org/wiki/Inverted_totalitarianism
    3. Re:I think there is an issue being ignored by gnasher719 · · Score: 1

      which is, most countries tax profits made within their borders. That is, if Google made money in France, then they must pay taxes in France. So, demanding that these companies pay taxes twice, on the same overseas profits, is not reasonable. Which, IIRC, was the point of why the tax exception was written that way.

      Two complications: Just assume that France had the same law: "You pay taxes on your income, but you can deduct the amount of tax you paid elsewhere (for example in the USA)". It couldn't work. If a company had to pay $1,000,000 in France according to French tax law, and $1,100,000 in the USA according to US law, then we get two equations "payment in France = $1,000,000 minus payment in the USA" and "payment in USA = 1,100,000 minuse payment in France" which have no solution.

      The other complication: When profits are artificially moved from one country to another country where the tax rate is higher. For example, Starbucks UK makes zero profit because they purchase their coffee beans at excessive prices from a Starbucks subsidiary somewhere on the continent where the tax rate is lower.

    4. Re:I think there is an issue being ignored by PPH · · Score: 1

      How did Google USA smuggle the trademark out of the USA and into the Cayman islands? If I put more then $10,000 in cash or property into my luggage and try exiting the country without declaring it, I can be fined and/or imprisoned.

      Based on a billion dollar annual payment from France alone, that trademark must be worth some multiple of a billion dollars. I think Customs and the IRS would really like to know who slipped it through our border.

      --
      Have gnu, will travel.
    5. Re:I think there is an issue being ignored by dryeo · · Score: 1

      As I said "numbers etc pulled from my ass" that included the name example to cover various IP that they do pay for. The numbers were also pulled out of my ass.
      The point is that they find things to pay for to reduce their profits to zero so they pay close to no tax in France (actually the article is about the UK but I was following your example)

      --
      https://en.wikipedia.org/wiki/Inverted_totalitarianism
  39. Apple paid 1/40th of ALL corporate tax in 2012 by Anonymous Coward · · Score: 0

    In fiscal year 2012, Apple paid $6 billion in federal corporate income taxes, which is 1 out of every 40 dollars in corporate income taxes collected by the U.S. government, said Steve Dowling, a company spokesman.
    “That makes Apple one of the top corporate income tax payers in the country, if not the largest,” he said.
    From http://www.bloomberg.com/news/2013-05-02/apple-avoids-9-2-billion-in-taxes-with-debt-deal.html

    1. Re:Apple paid 1/40th of ALL corporate tax in 2012 by dk20 · · Score: 1, Interesting

      The amount of taxes paid isn't relevant, its the percentage. I think the average american pays around 28%, what did apple pay?

    2. Re:Apple paid 1/40th of ALL corporate tax in 2012 by stenvar · · Score: 1

      Your observation isn't relevant either; if you increase corporate taxes, you just accomplish two things: they'll have to raise prices, so you end up paying for those taxes, and they'll come up with ways of moving out of the country.

      Ultimately, no matter "who" you tax, real people end up paying the price. And with corporations, the people ending up paying the price are the people buying their products (and potentially their employees).

    3. Re:Apple paid 1/40th of ALL corporate tax in 2012 by dk20 · · Score: 1

      What happens when Apple undergoes a huge bond issue simply to avoid repatriating cash? http://www.ft.com/cms/s/0/839e662a-b3dd-11e2-ace9-00144feabdc0.html#axzz2TlsjpzoU I'm no longer a US taxpayer so i no longer care, but it seems unfair that US taxpayers are giving them a $100MM a year break. They have enough cash to pay their taxes and don't really need any assistance. I'm unsure how my comment "isn't relevant", is it untrue that percentage taxes paid is an easier means to compare then total taxes paid? By the way, just because you increase corporate taxes doesnt necessarily mean there will be an increase in prices. There could also be a small reduction in profit margins. Again looking at apple with its huge margins...

    4. Re:Apple paid 1/40th of ALL corporate tax in 2012 by stenvar · · Score: 1

      Look, I really don't like Apple as a company and I think their profit margins are outrageous. But you can't fix problems with (legal or illegal) tax evasion by raising taxes even more; that will just lead to more tax evasion and screw law abiding citizens even more. If you want companies to comply more and evade less, the only way to do it is to lower taxes, not increase them.

    5. Re:Apple paid 1/40th of ALL corporate tax in 2012 by cas2000 · · Score: 1

      Your observation isn't relevant either; if you increase corporate taxes, you just accomplish two things: they'll have to raise prices, so you end up paying for those taxes, and they'll come up with ways of moving out of the country.

      that's one way of looking at it.

      another, more accurate way is that if the government doesn't prevent them evading taxes, they are subsidising the price of their products.

      i.e. your iphone/whatever is artificially cheap because it's subsidised by tax-payers. part of the cost of you having that item is shifted to people who get no benefit from you owning your gizmo.

      Ultimately, no matter "who" you tax, real people end up paying the price. And with corporations, the people ending up paying the price are the people buying their products (and potentially their employees).

      how odd... you say that as if it's a bad thing.

      why is it that people who are all in favour of user-pays ideology when it comes to essential services provided by governments, get so upset about users paying the full, unsubsidised cost of the products they buy (including subsidies for tax evaded, and externalised expenses[1])

      and why do they get so upset about the relatively minor effect that tax has on the retail price, yet are perfectly happy with all the middle-men in the distribution chain taking their markup at every step along the way (typically 30-40% at each stage, sometimes hundreds of percent for some products)

      [1] http://en.wikipedia.org/wiki/Externality

    6. Re:Apple paid 1/40th of ALL corporate tax in 2012 by stenvar · · Score: 1

      another, more accurate way is that if the government doesn't prevent them evading taxes, they are subsidising the price of their products ... why is it that people who are all in favour of user-pays ideology when it comes to essential services provided by governments, get so upset about users paying the full, unsubsidised cost of the products they buy

      Claiming that corporate taxes pay for "externalities" associated with these products is a bald faced lie. Most of the actual externalities are paid for by taxes on gas, land, payroll, sales, and other sources, Most of the federal budget is used for people enriching themselves in various ways: from bank bailouts to military contractors and public sector union handouts. Just look a the budget.

      and why do they get so upset about the relatively minor effect that tax has on the retail price

      What makes you think it's a "minor effect"? Every dollar you raise in corporate taxes is paid for by either customers or investors, i.e., real people. And "investors" aren't some nebulous Dr. Evil-style people, they are your and my retirement accounts.

      , yet are perfectly happy with all the middle-men in the distribution chain taking their markup at every step along the way (typically 30-40% at each stage, sometimes hundreds of percent for some products)

      I don't know about you, but I aggressively try to minimize those costs. And companies cut out those middlemen whenever they can. That's why B2B and internet shopping are so hot.

      I'm not "getting upset", I'm explaining to you why raising taxes just won't work. You have companies moving their profits overseas because they don't want to pay US or UK taxes. Your solution? Raise taxes further. How is that going to encourage those companies to bring their profits back to the US? If you run a store and your product doesn't sell, how is raising prices going to bring people back?

    7. Re:Apple paid 1/40th of ALL corporate tax in 2012 by cas2000 · · Score: 1

      Claiming that corporate taxes pay for "externalities" associated with these products is a bald faced lie

      Well, it might be if i had indeed said that or anything like that. I didn't, and still don't.

      Try responding to what i actually wrote, and not to your half-arsed strawman.

      Most of the actual externalities are paid for by taxes on gas, land, payroll, sales, and other sources

      no, they're not. you clearly have no fucking idea what you're talking about. externalised costs are NOT borne by the company (or individual) who benefits from them. that's the entire fucking point, they're costs borne by third-parties, by the entire community, by someone else - ANYONE ELSE.

      the classic example is that of dumping toxic waste in a river - there's no cost to the polluting factory (in fact, they save the expense of disposing of their waste properly). the cost is borne by everyone else who lives by or uses that river, swims in it, drinks it, washes in it, eats fish from it, especially those downstream.

      read the wikipedia link in my last post, especially the section on negative externalities.

      That's why B2B and internet shopping are so hot.

      funny, middle-men being eliminated doesn't seem to have reduced retail prices much, or at all.

      if reducing costs in the distribution chain don't magically reduce prices, why do you expect me or anyone else to believe that requiring parasite corporations to pay their fair share of taxes would somehow magically increase them?

      IMO it would be a fucking great thing if the price of an item bore any kind of direct relationship to the cost of producing it. but it rarely does. the price is far more often exactly what they think they can get away with (aka "what the market will bear" in self-congratulating marketing wanker biz-speek)

      I'm not "getting upset", I'm explaining to you why raising taxes just won't work.

      actually, you are. you're just another moron apologist for corporate thieves. you see them as canny businessmen minimising their unjust tax burden. i see them as parasitic leeches engorging themselves on the toil and blood of others.

      i guess your attitude is only to be expected - you're an american, after all, and raised to admire con-men and thieves and to regard "caveat emptor" not as a warning against vermin but as a slogan of sound business practice.

      more importantly, i never said that taxes must be raised (although i do happen to also think that they should be raised, at least to the levels before the rich and the corporates were given massive tax cuts - that's a separate issue from the point i was making here).

      You have companies moving their profits overseas because they don't want to pay US or UK taxes. Your solution? Raise taxes further.

      No, that isn't my solution.

      My solution is that the scum-sucking corporate parasites should pay their fair share of taxes and not be allowed to get away with exploiting loopholes to evade tax.

      Lying and fiddling the books to claim that money was made in a low-or-zero-tax jurisdiction when it was actually made in a normal taxing jurisdiction is not legal, it's not just "paying no more than they legally have to" as moronic parrot apologists like you bleat on and on about. it's a fucking tax evasion scam, and the companies and individuals who perpetrate it are criminal scum.

      criminal scum no better than those who looted the financial system with their bogus loans and bullshit derivatives that caused the GFC and then demanded a bailout of trillions.

      you want to know why your country's economy is so fucked - it's because you idiot americans let the thieves on wall street get away with multi-trillion dollar larceny while thieves from haliburton loot the treasury and corporate puppets reduce the already-bargain basement tax rate for the rich. worse, you no

    8. Re:Apple paid 1/40th of ALL corporate tax in 2012 by Anonymous Coward · · Score: 0

      My solution is that the scum-sucking corporate parasites should pay their fair share of taxes and not be allowed to get away with exploiting loopholes to evade tax.

      What are you complaining about? Is Australia not a sovereign country? If Google or Apple aren't paying what you consider their "fair share", blame your own politicians and courts.

      What I do care about is that their tax fraud has *stolen* hundreds of millions of dollars from the australian government and australian people. hundreds of millions that could and should be going to our schools, our roads, our hospitals, and to our universal public health insurance

      Well, good luck with that. All that will likely come crashing down. I just hope your kind of political and economic stupidity will not invade the US any further.

    9. Re:Apple paid 1/40th of ALL corporate tax in 2012 by cas2000 · · Score: 1

      If Google or Apple aren't paying what you consider their "fair share"

      their fair share is the corporate tax rate of 30% of net that they agreed to when they chose to do business in this country.

      i thought you anarcho-capitalist retards held agreements to be both binding and sacred - or is it OK to break agreements you voluntarily entered into if you disagree with the other party's politics? or because you can get away with it?

      or is it simply because "bizness gud, gubmint bad"?

      ... blame your own politicians and courts.

      of course! now i understand, it's so obvious once you've pointed it out - the victim, the police, and the courts are always the ones responsible for a crime, not the perpetrator. never the perp.

      perhaps one day someone will murder you and get away with it by claiming they didn't kill the yokel in Bumfuck County, USA, they were pretending they were in Ireland while they did it so that's where it happened. and it will judged to be your fault for letting someone imagine you were overseas.

      Well, good luck with that. All that will likely come crashing down.

      you really do believe that theft is OK as long as you're big enough to get away with it, don't you?

      do you masturbate to the fantasy that one day you'll also be big enough?

      dream on, peon. you never will be. you're an economic peasant and your job is to work your arse off propping up those who stomp you down, because keeping everyone else down is how they stay on top.

  40. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    Because the working portion of a person's life is bookended by nonworking portions?

    Yup. You save for your retirement and pay for your kids. It's not the government's responsibility.

    The government regulates the banks so that you can save for retirement without getting screwed out of all of your money, and backs the currency that allows you to get away with paying for whatever your kids need without having to barter.

    Because we don't want to take the people who can't work out behind the barn and shoot them?

    Covered by insurance too; not a government function.

    Insurance that's regulated by the government so that you don't get screwed by having your coverage suddenly pulled out from underneath you every time you get admitted to hospital or enter the welfare office.

    Aside from those reasons, a lot of government spending, the majority of it, goes to people who are working. The government employs quite a few people, most of whose jobs we'd all agree need to be done.

    Really? We all agree? My guess is that there are plenty of reductions possible, starting with the military, the DEA, and the DHS.

    Spending reductions are possible across the board. Government waste isn't a new thing, but it also doesn't mean that the people receiving the money are sitting around wiping their asses with your tax dollars. Anyway, you already seem to agree that most of the jobs in the government need to be done, since you're only asking for reductions and not for outright closing departments.

    Because the Fed intentional manipulates the market to maintain unemployment?

    Oh, take of your tinfoil hat. The Fed is a bunch of bumbling idiots; they couldn't "maintain unemployment" if they tried.

    There would be 0% unemployment without the Fed. Everybody would just be owners or slaves. You don't need to be happy with the job they're doing, which is the whole point of being able to vote the bums out, but don't pretend that you can make it without government intervention to protect the majority of your quality of life.

  41. Re:Government didn't earn the money by tqk · · Score: 0

    Taxes are the price of civilization.

    That is a lie and you should be ashamed to believe it. It's the same lie rulers and tyrants have been spewing for millennia.

    --
    "Tongue tied and twisted, just an Earth bound misfit ..." -- Pink Floyd.
  42. Also, Misleading Summary and Missing the Point by cervesaebraciator · · Score: 1

    Despite moves by government to get Google, Amazon and Apple to admit they make sales in the UK and US [...]

    The summary places the subject partly within the context of the recent sales tax debate in the US. The article doesn't talk about this, nor does it make any mention of grants and subsidies from the US. Even if it did, this would be missing the point. The taxes would not simply be "empty threats", whatever that means here. Even if the companies receive benefits from the government, they have cause to fear paying sales tax because of the way it would change consumer behavior.

  43. Government tactics 101 by JustNiz · · Score: 1

    The government's sole purpose of this action is to put into place more mechanisms to extract new taxes. The standard way all elected governments of the world get away with sticking it to the people with more unfair laws is to play the long game and start really small.

    The gov knows that once the basic mechanism is in place, it is irreversible, consequently they initally make it sound harmless and agree to anything to get it in place (even initially giving up any benefit, such as that all the collected taxes all get returned to the big companies) because the gov know they can gradually tweak the new mechanism's parameters later when the spotlight isn't on them. This is government tactics 101, people.

    1. Re:Government tactics 101 by Anonymous Coward · · Score: 0

      How does that make sense?
      Either they are sticking it to the people, or they are money to the big companies. These two are usually contradictory.

      The key point is, as you mention, that the governments are _elected_, i.e. they are supposed to have the people's best interest in mind. The sole purpose of an elected government is to improve life conditions for the population.
      Now that is somewhat different from what actually happens in many democracies-only-in-name, which is why we should continue to keep the spotlight on them... most efficiently by participating, which is what a democracy is supposed to enable.

  44. Re:Government didn't earn the money by Kohath · · Score: 1

    This is just false. Giveaways to non-workers are a lot more than half the budget:

    http://www.concordcoalition.org/publications/2011/0906/op-ed-government-‘-people’-gets-more-expensive

  45. Me too by PPH · · Score: 1

    For some reason, a lot of people forget that corporations, unlike people, pay income tax on NET rather than gross

    But corporations are people. Why can't I pay income taxes on my net rather than gross?

    --
    Have gnu, will travel.
    1. Re:Me too by dkf · · Score: 1

      But corporations are people. Why can't I pay income taxes on my net rather than gross?

      Because that's what corporations bought with their "campaign contributions".

      To be fair, there are some businesses that simply could not work at all — any kind of deposit-taking institution, such as a credit union or bank, even if not operated by Wall Street — if every piece of money that crosses the doors was taxed as income. Furthermore, there is a general benefit with having companies generally economically active rather than leaving money sitting there doing nothing: taxing net income after allowable outgoings is reasonable. The real problem is that someone found a way (well, several ways) to make income that should be taxed be actually untaxed, and a number of corporations have been using these tricks on a colossal scale. When tax income is generally well up, that's not seen by governments as too big a problem, but when tax income is down, the order comes down from on high to make sure that those who should owe actually pay up. The screaming as the true bills start to be charged will be very loud and shrill indeed.

      Ordinary citizens aren't allowed to claim only net income because that would make overall tax income too low; a majority of people have net incomes so low that the taxes levied would be more expensive to collect than what would be earned. It would also make it far easier for the rich to dodge taxes, given that avoidance techniques are now well advanced. (Right now, they have to do games with corporations and loans and tricks like that.) I fear that the net result of all this pain going to be an increased tendency to extremism and an elevated chance of revolution: those are factors that are so random that who knows who'll come out on top?

      Also, in reference to the UK, there's a stronger separation between people and companies than in the US; the tax system differentiates so that personal taxes aren't done using the same set of rules at all as companies are taxed under. This greatly reduces the amount of annoyance experienced by individual citizens, since all the rules aimed at complex business arrangements are only experienced by those who are actually running a business: people still grumble about how high taxes are (of course!) but not nearly so much about the complexity.

      --
      "Little does he know, but there is no 'I' in 'Idiot'!"
    2. Re:Me too by Anonymous Coward · · Score: 0

      Many people forget that in the US, the taxes you owe on your IRS 1040 are calculated from line 37 Adjusted Gross Income, less the deductions, to find line 43 Taxable Income. While not explicitly a "net" figure, there are many things deducted from your gross before you pay the tax. The so-called standard deduction from 2013 ranges from $5,950 for a single person up to $11,900 for a married couple or family. Add in the personal deductions of ~$3,700 and you just about reach an untaxed income of poverty level, for a family of four...

      This is a far cry from a "small" business who can have expenses run up to 80 or 90 percent of all their income and still turn healthy profits. Or a "large" business which, completely legally, say all their profits are made overseas (one point of TFA) and actually run net losses in their larger countries so on the off chance they forget to cook the books in the next year, they can say "Oh, we're still carrying forward losses of $millions, so we still didn't make any money this year, not really." And the government usually says "right, carry on then!"

        So it's not that the poor can't play the game too, it's that the game is rigged against them.

    3. Re:Me too by PPH · · Score: 1

      What's the pre-tax poverty level for a corporation? Why aren't we restricting them to this figure as a deduction limit?

      --
      Have gnu, will travel.
  46. So what if we ... by Skapare · · Score: 1

    ... eliminate all corporate taxes? Will that draw international corporations to come here. It probably would ... until ... they realize that we are taxing the people so hard that the cost of employing them here is too high. So they would just set up headquarters here, and hire the actual production people (workers) wherever they are the cheapest. So what do we gain? I say just drive them out.

    --
    now we need to go OSS in diesel cars
  47. Re:Government didn't earn the money by Anonymous+Brave+Guy · · Score: 1

    If we're going to debate this, we need to be careful to distinguish between the scope of government and the efficiency of government.

    Personally, I'd be the first to agree that many western governments have far too broad a scope today and the public sector has become unsustainably large. That's a real economic problem, and sooner or later someone's going to have to deal with it.

    But on the efficiency question, the evidence is not nearly so clear. It's easy to find spectacular examples of government inefficiency and horrendous waste, but it's also easy to find spectacular success stories where nationalised, government-run infrastructure dramatically outperforms private, commercial provision of the equivalent services in other places. And some functions really have to be reserved to some form of government at a basic level, unless you want to start outsourcing things like making laws and starting wars to private industry.

    For this discussion, the key point to me is that as long as there is any area that government is responsible for operating, there needs to be some way to pay for it. It would be fascinating to see what would happen if we had some radically different mechanism for doing that instead of what we have today, but until we've discovered a way to try something else without undermining the basic fabric of our societies, taxation is the least worst option we've found so far. The amount of taxation that is justified is a quantitative question and relates to both the efficiency and the scope of government, and the division of that tax burden among taxpayers is again something to be debated, but the principle that people/businesses should make a contribution in return for valuable government services (whatever those might be) is a reasonable one.

    --
    If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
  48. Is there a right way? by Roger+W+Moore · · Score: 1

    ...claiming that the companies involved are being evil and ethically corrupt when it comes to "fair share" taxation, while at the very same time flat out refusing to acknowledge that those companies are not doing anything illegal under the current tax regime.

    Completely true and the government certainly shoulders some of the blame but they are also stuck in a very hard place. They could certainly change the tax law but the problem is how? They are up against multi-national corporations who will do anything they can to avoid paying tax and have armies of lawyers and a global reach to do just that. It is hard to see how any tax law can actually stop these companies and billionaires without being so strict, severe or complex that it will hurt smaller companies.

    I agree nobody should be expected to pay more tax voluntarily than the law allows but, at the same time, calling an individual or a house a company simply to avoid income tax or stamp duty is going completely against the spirit of the law. Yes government can pass laws to block each new loop hole but you'll end up with tax laws that fill a library and the cost of filing your taxes will soar. This, ultimately, is the problem with laws: there is always some way to circumvent them if you try hard enough. Fixing the law is not the issue here we need to fix the attitude of the companies and billionaires who have benefitted greatly from society and now need to contribute to it at at least the same rate as the rest of us.

    1. Re:Is there a right way? by Richard_at_work · · Score: 1

      The problem with the "spirit" of the law is that now you have two sets of rules - the law, which everyone agrees on, is codified and available in big books, and then you have the "spirit", which some people agree on some of the time, isn't codified, changes from week to week and government to government, and cannot be looked up.

      Which is why the "spirit" of the law is nothing but a load of bollocks - if you want someone to not do something, say so in the rules, don't make some extra-legal fluffy bullshit up that you also expect people and companies to adhere to.

    2. Re:Is there a right way? by Roger+W+Moore · · Score: 1

      if you want someone to not do something, say so in the rules, don't make some extra-legal fluffy bullshit up that you also expect people and companies to adhere to.

      Any ideas how you can do that without coming up with a legal code so hopelessly complex that nobody can possibly follow it? Your position also implies that you have no real objections to highly immoral, but technically legal, activities that international companies get up to e.g. running slave-wage sweat shops in third world countries, unsafe factories etc. Should we really not expect companies to behave in a moral and ethical fashion even if not compelled to do so by law? They get up to worse legal allowed things than tax evasion!

    3. Re:Is there a right way? by Anonymous Coward · · Score: 0

      Let's say there was a hypothetical law that states, "if an animal trainer's lion injures a viewer, the trainer must compensate the injured viewer £200". Now lets say the animal trainer has a bull that injures a viewer. Should the animal trainer be required to compensate the viewer under the spirit of the law, the spirit being "the animal trainer should control their animals", or should the law be modified to explicitly define the meaning of animal and list every animal that would cause compensation?

    4. Re:Is there a right way? by bingoUV · · Score: 1

      You're proposing to go about it completely the wrong way. Loopholes are removed by simplifying the law, not complicating it. At least that is the only sustainable way to do it.

      Problem with simplifying is that it steps on someone's toes who paid a lot to get a particular complication into the law.

      --
      Bingo Dictionary - Pragmatist, n. A myopic idealist.
    5. Re:Is there a right way? by bingoUV · · Score: 2

      Nice example. The way you suggest to make the law "fair" is to make it enormously complicated (list every animal). There is a simple way, that really removes the loophole - "if an animal trainer's animal injures a viewer, the trainer must compensate the injured viewer < insert 3-10 classes of injury that every constitution has defined in other sections, and corresponding penalty.>"

      Since you kind of assumed a circus scenario, I didn't cross the limits, but it is in general useless to make laws specific so circuses. One would rather say "if any entertainment performance hurts the viewer ...". A separate law for entertainment makes sense because the intent of the viewer in entertainment setting is completely different from, say, an employment setting.

      The politicians (at least the bureaucrats who do the actual drafting of laws) know perfectly well how to make simple and real fair laws, and how to overcomplicate to scratch someone's back. They choose to do the latter not out of incompetence as the naive would assume.

      --
      Bingo Dictionary - Pragmatist, n. A myopic idealist.
    6. Re:Is there a right way? by Roger+W+Moore · · Score: 1

      Loopholes are removed by simplifying the law, not complicating it.

      Not always. Look at Google's tax avoidance in the UK. To skip paying UK tax all the deals are negotiated by people in the UK but the final act of agreeing to the the sale is done by someone in Ireland. So now your simple law which is "you get taxed where the sale takes place" suddenly has to sprout a whole ton of rules about how it defines where the deal takes place to avoid Google's tactic of doing everything in the UK except the last part.

      The problem is not always that governments have written laws with loopholes in them it is that corporations will twist even the simplest things, like where a deal takes place, and use it to avoid paying tax. They would run rings around any simply stated tax code. Part (but not all ) of the reason most country's tax laws are a nightmare is to stamp out the most egregious abuses.

  49. Re:Government didn't earn the money by tqk · · Score: 1

    For example, the government pays for police that will arrest people going to an Apple Store with guns and taking whatever they want.

    I think Apple can afford to hire their own security, don't you?

    On the other hand, if the gov't does it, they can break into private citizens' establishments to steal back iBaubles that some Apple flunkie left in a bar.

    --
    "Tongue tied and twisted, just an Earth bound misfit ..." -- Pink Floyd.
  50. Please don't feed the trolls by ebno-10db · · Score: 2

    Does anyone who seriously uses the cliche that "taxes are theft" deserve to be treated as anything other than a troll? I'm all for open debate with anyone serious, including those who would all but abandon (in the US) the federal government. However, even anarchists may admit that some taxes are necessary. "Taxes are theft" is just a childish rant and should be treated as such.

    1. Re:Please don't feed the trolls by Kohath · · Score: 3, Insightful

      Taxes are not theft. Taxing person A to pay for government giveaways to person B is theft.

    2. Re:Please don't feed the trolls by XcepticZP · · Score: 1

      Taxation is theft if we have no say in how that money is used. And if you honestly think that you have any say at all in how your tax money is used, then you're seriously deluded. Forcing other people to pay for some collective "purpose" is morally wrong.

      That's the real problem with taxation, and the biggest one most anti-taxation people have with it. If you want to call taxation voluntary, then allow people to choose how it gets used, and tax them for only the services they use of government. None of this "representative" nonsense that you call giant democracy.

    3. Re:Please don't feed the trolls by Arker · · Score: 1

      To the contrary, it is a very precise and correct phrase that sets the entire issue in its proper context. What do you call it when someone takes money from you involuntarily? Theft. What do you call it when you voluntarily give someone money in exchange for a product or service? Commerce. The two words cover most logical possibilities, but to cover them all we must introduce a third term - gift. This is when you give money to someone, but your benefits are intrinsic or internal, rather than the other person giving you something in exchange.

      With those three words we cover all logical possibilities for describing a situation where money changes hands.

      Is taxation commerce? Statists often attempt to argue that it is - that the government provides services which taxes pay for. But this does not stand up to scrutiny - because the crucial element of *voluntary exchange* is missing. If you have no need for these 'services' can you opt out? No, pay up. If the 'services' are actually inimicable to your well being, and you would voluntarily pay simply for their absence? No one cares, pay up or we will send men with guns to take it.

      So it's not commerce. What about charity? Again, this may seem reasonable if you dont think about it - there are similarities. Charity is giving money for the greater good, and all states *claim* that they spend tax money for the greater good. But again, the crucial element is missing - taxes are *not* voluntary.

      So we have ruled out two of the three words that can describe how money changes hands, and have one left by process of elimination - theft. But does it really fit? Well, yes it does. Taxes are not voluntary, and if people dont often get teams of armed men sent out after them over it is only because the mere threat, explicit or implicit, is strong and credible and normally suffices. When people take what belongs to you, using force or threat of force, without your consent, that is theft.

      --
      =-=-=-=-=-=-=-=-=-=-=-=-=-=-
      Friends don't let friends enable ecmascript.
  51. Re:Government didn't earn the money by stenvar · · Score: 1

    In the US, Apple pays for police protection through their real estate taxes (and other local and state taxes), not corporate income tax. They also have their own private security. I suspect Cupertino, Mountain View, and Palo Alto would come out ahead even if they didn't get any direct revenue from Apple and Google.

    In the UK, since money just disappears into a big bucket, it's of course much easier to play political bait-and-switch with taxes.

  52. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    I like your idea. People need to pay for their own kids. Also, any interest or capital gains paid to an investor while the investor has no earned income should be 100% taxed. There's no reason that the labor of the children that I paid to raise should benefit someone who opted not to spend any money on children. That guy can fund his retirement with straight savings; it's not fair for me to subsidize him.

  53. Re:Government didn't earn the money by Pubstar · · Score: 1

    Just wanted to point out too that a 0% unemployment rate is very bad for economies. It leaves no room for growth. The sweet spot is between 3-4% with about 2% of people actively seeking work.

  54. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    Don't forget the ruling party is formed by people who not everyone has voted for. As someone who didn't vote for them, I don't mind their having seats in parliament and participating in lawmaking, but I didn't vote for the Prime Minister and I should be allowed to ignore any and all of his decisions.

  55. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    Statements like that really make very little sense. "Unemployment" isn't even a well-defined number, it's based on some arbitrary time limits and criteria.

  56. Re:Government didn't earn the money by Kohath · · Score: 1

    They should pay billions in taxes to avoid hiring a few security guards?

  57. I know, it is making business just a little harder by bitflusher · · Score: 1

    I am buying apps like no other as part of my business. In normal business you work with buying and selling and VAT is no problem. Apple however does not send bills with VAT, Apple states they are not done negotiating with the government. I had to read this two or three times.. what on eath do you have to negotiate on VAT. It is really clear: all business have to pay. Now the Added in Value Added Taxes i have to pay is higher than it should be, there goes part of my profits, thank you Apple!

  58. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    So every corporation will have to hire their own full-time security, and set up their own court system, and run their own prison cells (or pay to house people who committed a crime against them)?

  59. Re:Government didn't earn the money by Kohath · · Score: 1

    If taxes only paid for government services like police and courts, taxes would be very low. But well over half of government budgets are for giveaways to non-workers.

  60. It's funny to think about... by symbolic · · Score: 1

    The entire country *could* take Amazon, Google, and Apple by the nuts and make them *beg* to pay taxes, but we just don't have that kind of resolve as a citizenry. I think things are moving in the right direction with new mobile apps like Buycott, but seriously....can't people give up their sense of convenience for just a little bit so that we can work to correct some *major* problems with the current political/social structure?

  61. welcome... by Tom · · Score: 1

    ...to the real cyberpunk world. Megacorporations don't rule the world, they let that dirty work be handled by governments. Instead, the have found a way to corrupt our politics in such a way that we are actually subsidising megacorporations and small companies and taxpayers are footing the bill.

    I just hope that the time when history looks upon this period and asks whether we were all insane isn't too far off.

    --
    Assorted stuff I do sometimes: Lemuria.org
  62. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    Don't forget the oldest, most common promotional campaign, enacted by the poor and destitute ranging back to the founding of civilization: The Five-Finger Discount.

  63. The EU will fine Microsoft to offset Google by elabs · · Score: 0

    As usual, the EU will find some way to squeeze Microsoft through frivolous anti-trust charges in order to pay the tax deficit from Google, Amazon, Apple and other tax dodgers. Unlike those companies Microsoft actually pays it's taxes.

  64. empty threats by Anonymous Coward · · Score: 0

    any taxes paid will get returned to the tech giants in government grants and subsidies

    This is nothing a worldwide boycott won't take care of.

  65. Re:Government didn't earn the money by AmiMoJo · · Score: 1

    They pay for those directly through property taxes, and indirectly through payroll taxes, proportional to what they use.

    The point is that they don't. They find ways to avoid it, so we have to pay for it instead.

    I used to play D&D with this guy who had pretty much memorized the rule book. The DM would say "lose 3 HP" and he would find some obscure interaction of multiple rules none of us had even considered that meant he only lost 1. Google is that guy, and the DM just needs to tell them to pay the hell up in the spirit of the rules.

    --
    const int one = 65536; (Silvermoon, Texture.cs)
    SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
  66. Bad Journalism by grahamtriggs · · Score: 1

    All this talk of sales, and talk that government could "enforce tax as a percentage of earnings on all companies".

    Corporation tax is paid on PROFITS, not sales / earnings. And as for the large amounts made by some of these sales - e.g. Google's supposed £3.2 billion sales. Well, this year they agreed a £1 billion property deal for new headquarters in London - that might impact on profits somewhat...

    HMRC has done some questionable things with relation to some companies, and yes, we need to ensure that all companies are paying tax fairly, and playing by the same rules. But there is a shocking amount of "me too" reporting over this issue, that glosses over the facts, presents information in a way that confuses rather than illuminates the issue, and often just gets the sums plain wrong.

    1. Re:Bad Journalism by Pop69 · · Score: 2

      Well, you see, buying a new headquarters has no impact on PROFITS because that's what we accountants call buying an ASSET, not an EXPENSE.

      If you're going to complain about glossing over facts and getting sums wrong you could at least do some basic research into the subject first ?

  67. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    I am so sick of that dead brainwashed party-line/meme.

    "Taxes are the price of civilization".

    As if the truth of it suddenly justifies cessation of structured discourse or further questioning of taxes. "Well, we need these for civilization, so stop whining about rampant misappropriation".

    That your society is only possible through taxes does not mean your society should continue to exist. No, I'm not some anarchist -- it just means your current structure and existence doesn't justify your means.

    There's millions who don't need hospitals, roads, postal services, although they may surely want them. And even if we do need them, we don't necessarily need everything that feeds into them. Sorry, that little paper cup hospital pills come in -- not actually worth $5. And not a dime of tax money should go to it.

    The concept of taxes aren't theft. The implementation is.

    Let's be clear -- ultimately, you're saying "pay up, or we will utilize force of law to collect. If law doesn't work, we will utilize arms and the military".

    Because that's what happens everywhere you don't buy out the government.

    And you're going to chime in "I'm not saying that, you said that as a collective member of society. If you don't like it go some place else or change it" (FUCK YOU if you believe that).

    As if the tyranny of the majority hasn't gotten more people killed in history than anything else. Power comes with responsibility. If you can't resist imposing your will on others, then don't be surprised when the peasants dash you onto the rocks below your castle, and in their rage also throw your children down too...

    The ONLY argument you have to the contrary is that taxes are consentual and therefor not theft. In which case you have confused the concept of mandate of the governed with consent of the governed.

    And congrats, you've replaced 'theft' with 'imposition of tyranny', in which the government exercises total and absolute control over law and has no logical limitation on their powers. But hey, at least it's legal and not theft then, right?

    Here's the deal:

    Taxes are necessary for modern civilization. They are not sufficient. If you do not provide civilization, there is no need for taxes.

    Unfortunately, we're both going to scottsman-around with civilization -- because frankly, I don't think the government should be providing postal services. And roads? I'd rather see them privatized for the most part -- with the notable exception of the highway system.

    That you provide public services, and even presuming that they have a net social benefit does not justify the existence of these services.

    "But governments exist to benefit their people, A/C..."

    Yeap. But not to provide unlimited benefit. Not to provide all the benefit they possibly freaking could. It'd benefit me a lot if we invaded Mexico, set up slave camps and sold off all their natural resources to China. Not the role of government. It'd benefit me if they mandated three free plane tickets a month... not the role of government.

    Civilization is something people choose to make. Not something you collectively purchase.

    It comes with a need for the society it creates to voluntarily limit it's power and use of force. It comes with social responsibilities -- the extent of which will likely be hotly debated. But mostly -- it comes with a need to fucking SELF PRESERVE. Because if your civilization loses the mandate of the governed, the consent of the governed, if it riles up the Spartans or the Mongols or the Huns.... bad shit happens to it.

    And I want to be clear -- I'm a contractor to the feds paid virtually directly by taxes. We just billed an agency $20k for labor that wasn't done whatsoever. Because it was written into the contract that we could bill if they didn't deliver requisite information by a certain date. They were three weeks late. We had the workers lined up, the contracts, the right of way. They weren't on time. Billed.

    If the

  68. Re:Government didn't earn the money by stenvar · · Score: 1

    The point is that they don't. They find ways to avoid it, so we have to pay for it instead.

    You're right that companies always find ways to avoid paying taxes, as do many individual tax payers. The higher you raise taxes, the more non-compliance you get and the more unfair the system gets for people who actually pay there taxes... mostly middle class employees.

  69. Re:Government didn't earn the money by makubesu · · Score: 2

    This kind of thinking is precisely what is needed to solve these tax problems. Why does the government tax a percentage of profit? Instead, think of it as payments for a service. You have a factory full of computers? Well we the government are protecting that factory with our military, so you should pay a tax based on the value of that factory. You are hiring workers? Well we the government educated them at our schools, so you should pay a per worker tax. Utilizing our public road system means customers can come to your store and buy things? Maybe we'll have some sort of utility sales tax. Also, imagine if those taxes could only be spent on precisely those programs. How quick would we be to go to war if corporations new their military protection taxes were going up?

  70. Re:Government didn't earn the money by stenvar · · Score: 1

    You have a factory full of computers? Well we the government are protecting that factory with our military, so you should pay a tax based on the value of that factory.

    Unfortunately, the US military isn't just used for protecting our nation, it is used for foreign adventures.

    Utilizing our public road system means customers can come to your store and buy things? Maybe we'll have some sort of utility sales tax.

    Customers are paying for roads through their payroll tax and gas tax, corporations are paying for it through real estate taxes and sales tax.

    The problem is that taxes are justified by people like you as payment for specific services, but then misappropriated for completely different services, like bailouts, fixing the economy, invading Iraq, or whatever.

    You are hiring workers? Well we the government educated them at our schools, so you should pay a per worker tax.

    To you, workers and citizens seem to be mere pawns to be moved around between government and corporations; that view is fascist. The idea that the nation is primarily composed of citizens who can make their own decisions and pay for what they want and need simply doesn't seem to enter your totalitarian mind.

  71. Re:Government didn't earn the money by Arker · · Score: 1

    "And some functions really have to be reserved to some form of government at a basic level, unless you want to start outsourcing things like making laws and starting wars to private industry."

    Instead of assuming such functions would have to be 'outsourced' why not consider eliminating them? Certainly starting wars is a function we could do without.

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  72. Free your mind by Impy+the+Impiuos+Imp · · Score: 1

    From TFA

    By Thursday, attention had shifted to some larger names in the tech industry. The day began with complaints over Amazon only paying £2.4m tax in the UK last year. This was despite making sales of £4.3bn and receiving £2.5m in government grants, so effectively Amazon cost the country £100,000 over 2012.

    Did she take into account the savings Amazon made to private citizens? Did she take into account reductions in global emissions due to shared delivery trucks?

    Do not assume the only thing going on is all government-oriented. Certain factions want you to think that way, but don't. Walmart saves the US consumers over $200 billion per year.

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  73. Lazy Journalism by Anonymous Coward · · Score: 0

    The comparison between Apple, Google and Amazon here is completely misleading. Apple stated that it paid $6 Billion in US taxes last year. The taxation on the $100 Billion is a completely different situation that doesn't compare to the situations outlined with Amazon and Google.

  74. Not How Capitalism Works by TheTwoWolves · · Score: 1

    I run a small IT company in the UK. What infuriates me is that my start-up is subject to onerous rates of taxation whereas a large foreign competitor is able to avoid a considerable portion of its tax bill. One of the key functions of government is that it needs to be there to ensure that the rules that ensure that capitalism can function are in place and are not being circumvented by any of the participants in the market. Failure to apply these rules across the board means that the market becomes distorted and the system fails to behave in a healthy fashion. This is what happens in developing countries and it is what makes them poor. The UK is getting poorer for many reasons but a key reason is our rising tide of corruption - which this is an example of. Recent articles by professor Niall Ferguson discuss the failure of Western institutions being core to our waning power... this is a clear example of that. The Law must apply to all in equal measure.

  75. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    Taxes are the price of civilization

    Just because some taxes are reasonable and necessary doesn't mean that any/all of them are.

    True, but people whom do not pay taxes should still pay a fine (strictly greater than the sum they avoided paying as taxes) or go to prison. If one disagrees with what the taxes are used for, or how much taxes one is asked to pay, one should inform the politicians and/or vote differently. When informing the politicians and possibly ones peers, one should also be prepared to have a fair conversation about how to solve problems arising from such changes.

  76. grants tied to taxes by ILongForDarkness · · Score: 1

    I say tie grant money (if there should be any is another debate) to taxes. In order to keep the grant money you have to have taxable income in the country. Essentially make them non-refundable tax credits. Also make them only able to be applied to a certain percentage of the total taxes due so that companies have to claim/repatriation large amounts in order to get their write-offs.

    Another option: taxes owed are a function of where you do business. If you are registered in the US but claim that your income is from overseas prove it. I say something like 70% is weighted based on where real dollars in the bank account originate (do what you want with US companies getting money from your country but US dollars going to US companies are going to get taxed period) not where you attribute them (doing shinanigans like claiming Cokes recipe is owned by a company in the Bahamas and the US revenue is paying huge royalties doesn't cut it). The other 30% would be where your employees are. That gives a bit of wiggle room for companies that legitimately do hire a lot of their staff overseas to actually assign a portion of their business to where it is actually being operated. Businesses are essentially operations and sales and both should be taken into account when calculating taxes not some shady circular ownership plan that allows them to claim to operate out of a lawyers office even with 10's of thousands of employees in country and negligable customers in the their "operating" country.

  77. Re:Government didn't earn the money by bingoUV · · Score: 1

    I think Apple can afford to hire their own security, don't you?

    Extremely myopic.

    Government pays for the police, that not only will arrest people going to an Apple Store with guns and taking whatever they want, but also prevent other people from running their own police. This made it possible for Apple (or many successful companies) to come into existence in the first place, otherwise the energies that are now directed towards making nice goods and services would get consumed by everyone fighting among each other.

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  78. Automatic devaluation of US dollar if not spent by NewYork · · Score: 1

    Govt doesn't need our taxes. Govt can print currency.
    Govt is imposing taxes to CONTROL/MANIPULATE the citizens.
    https://goo.gl/ep9Qz

  79. LOL by Anonymous Coward · · Score: 0

    Isn't that always the way it goes - Activists demand more taxes for the rich, the government makes new taxes that the ultra-rich are exempt from - classic government in action.

  80. Re:Government didn't earn the money by Anonymous Coward · · Score: 0

    If Apple or Google actually were violating tax law, we wouldn't be having this discussion. They are complying with the law, you just don't like what the law says. And do you really want to give even more power to the IRS to screw with your life?

  81. Re:Government didn't earn the money by volmtech · · Score: 1

    Most people think we have way too much civilization. Nation building half way around the world, subsidizing 100 billion dollar corporations, no one ask me if I wanted that. We can't vote in honest politicians, the major parties only run two candidates, and the corporations have bought of them.

  82. these companies have an obligation to shareholders by JBaustian · · Score: 1

    That's why they are not repatriating the profits they earn outside the US. Corporate tax rates are too high -- the government would likely collect more revenue from lower rates, as firms would be less likely to shelter earnings from the taxman.

  83. Guns and Taxes: Typical USA by Optali · · Score: 1

    LOL.
    I was reading this article and heading the "You may also like to read" section "First fully 3D Printed Gun..."

    I dunno mates, but out here we are getting a very weird image of you USians as gun-crazed anti-tax jihadists.
    Just joking.

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  84. public spectacle by jsepeta · · Score: 1

    the recent hearings in DC are just for public spectacle. elected officials have no intention of bearing down on apple & google & microsoft -- they're just pulling a "look over there" maneuver, in order to distract the population from other matters -- like how 5 years after Obama was elected, we're still paying $79 billion to fund the war effort in Afghanistan. They're all a bunch of lowlife criminals, our "representatives", completely self-serving and generally immune to the effects of the laws which affect the rest of the 99%.

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  85. Re: Government didn't earn the money by Anonymous Coward · · Score: 0

    I think one of the most basic items that we can emphasise here is they have free defense. By not paying taxes in the USA, they have the most powerful military protecting their interests without paying for it!! Pay up!!

  86. Canada by sunimmigration · · Score: 0

    Breaking News "Canada opens up Investor Immigrant Program" Canada opens its Immigrant Investor Program based on following qualifying criteria: - . Two years management/business experience in the last five years . Net-worth of $1.6 million . One time cost of $180,000 If interested, please contact us immediately, as very few applications will be accepted under this program with a submission deadline. You can email us at info@sunenterprises.ca or visit our website www.sunenterprises.ca

  87. Re:Government didn't earn the money by tqk · · Score: 1

    I think Apple can afford to hire their own security, don't you?

    Extremely myopic.

    No, it's not. It's a feature, but you glossed over this bit:

    On the other hand, if the gov't does it, they can break into private citizens' establishments to steal back iBaubles ...

    Private security secures private establishments. Gov't supported security (police) have the force of criminal law behind them and so can act far more broadly, including being co-opted by Apple to steal back its property, paid for by taxpayers.

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    "Tongue tied and twisted, just an Earth bound misfit ..." -- Pink Floyd.