Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.
Labour revenue shadow doesn’t ‘like’ Facebook tax share
Posted on 29-Jan-2014 12:14 by Bill Bennett | Tags Filed under: Articles



It’s hard not to sympathise with David Clark.  The Labour spokesperson for revenue wants Facebook to pay its fair share of tax in New Zealand.

Clark suggested banning or filtering the online giant could be one way of  forcing Facebook to pay up.

Finance minister Bill English was quick to ridicule the idea. He describes a ban as “nuts”.

However, English shares Clark’s concern that Facebook doesn’t pay enough tax on the income it receives from New Zealand.

For the record the online giant paid just $28,000  in tax during 2012 on revenues of $790,000.

The world is waking up to the problem of large online corporations like Facebook avoiding local taxes in countries where they make money.

Google is famous for billing New Zealand advertising sales in low-tax Ireland and pushing the money through a string of countries in an arrangement known as the “double Irish Dutch sandwich”.

Other online companies have similar complex arrangements to avoid taxes.

This doesn’t just deny governments tax revenue, it also puts native companies in countries like New Zealand, Australia and the UK at a severe disadvantage when it comes to competing with rivals who have far lower tax overheads. This is potentially a bigger threat.

Realistically the only way this problem can be dealt with is at the global level. Even that will be difficult – the countries that win from these tax arrangements are in no hurry to stop whatever benefits they gain.

The post Labour revenue shadow doesn’t ‘like’ Facebook tax share appeared first on digitl.







comments powered by Disqus


Trending now »

Hot discussions in our forums right now:

Bombing at Manchester concert, 19 dead
Created by Rikkitic, last reply by frankv on 26-May-2017 21:09 (151 replies)
Pages... 9 10 11


Tax Cuts
Created by tdgeek, last reply by Sam91 on 26-May-2017 19:31 (53 replies)
Pages... 2 3 4


Tipping? Please no!
Created by BlueShift, last reply by vexxxboy on 26-May-2017 20:52 (101 replies)
Pages... 5 6 7


Father banned from watching daughter's netball game: what you think of this?
Created by Rikkitic, last reply by frankv on 25-May-2017 16:29 (136 replies)
Pages... 8 9 10


Tailgaters?
Created by Linuxluver, last reply by reg52nz on 25-May-2017 16:29 (113 replies)
Pages... 6 7 8


The President Of The USA: Donald Trump
Created by TimA, last reply by blakamin on 26-May-2017 19:37 (4362 replies)
Pages... 289 290 291


Variable speeds on Fibre Max
Created by kapitikarl, last reply by sidefx on 26-May-2017 15:51 (43 replies)
Pages... 2 3


Rocket Lab's 'Electron' Marks First Orbital-Class Launch From a Private Pad
Created by Wiggum, last reply by afe66 on 26-May-2017 20:49 (12 replies)