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"It means Facebook's UK corporation tax bill was less than the tax the average UK employee paid on their salary." "The average UK salary is £26,500 on which em
by nr152522 11y ago
"It means Facebook's UK corporation tax bill was less than the tax the average UK employee paid on their salary."
"The average UK salary is £26,500 on which employees pay a total of £5,392.80 in income tax and national insurance contributions."
Corporation tax and personal tax are not the same thing so I don't see how they can be compared. In fact, in terms of taxes paid to HMRC, they would have been paid more tax overall.
However, considering they made a pre-tax loss, they should have probably reviewed those payouts of which I assume was shared amongst those on top.
- fooster 11y agoIf they reduce their profit to zero by paying out to the employees this means they don't have to pay any corporate tax, and the employee has to pay income tax. The personal income tax rate is generally higher than corporate, so why is this a bad thing?
- deleted 11y ago[deleted]