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Why do so many companies are there if it is not for taxes? Every large corporation regardless where they are from are try to get out of paying taxes in EU and

Why do so many companies are there if it is not for taxes? Every large corporation regardless where they are from are try to get out of paying taxes in EU and it is great they are hunted. Many of them have been under EU tax crackdown and many more are to come.

dogma1138 9y ago
For the same reasons as Delaware, the legal framework and establishment are favorable but there is nothing criminal in this. As for the second parts it’s every large non-EU corporation and that is the problem. These acts as well as the anti trust investigation into Google and other such affairs is a protective response to the lack of competitiveness from EU corporations primarily in Tech. Tax avoidance in the EU isn’t an oversight it’s a deliberately orchestrated and legislated ordeal which was established to favor EU corporations. Since the EU seemed to nearly skip the tech giant bubble and it’s largest corporations are primarily ancient energy and finance giants it now goes after US corporations which have subsidiaries in the EU. This is selective enforcement the EU didn’t go after Lidl which keeps much of its Tax books private it didn’t go after BNP, Shell, ING and the like all of which also excel at not paying.
- throwawaymanbot 9y ago
  Dogma, you are insistent that the EU is biased. Yet you show no proof. Prove, or stop saying this garbage.
- Fnoord 9y ago
  > For the same reasons as Delaware, the legal framework and establishment are favorable but there is nothing criminal in this. What you omit is that it is favorable because there is no income tax [1]: "Delaware charges no income tax on corporations not operating within the state, so taking advantage of Delaware's other benefits does not result in taxation." European companies cannot incorporate in Delaware. If they would, they'd fall under US law. Now, if the United States of America wishes to keep legal frameworks like these intact that is mostly the loss of all of the US citizens, although also a problem for competition due to lower prices. You are deceiving when you claim Shell is paying no tax. I have a Dutch source with data saying they paid 10 billion in 2010 in The Netherlands [2]. I don't know if this fair or not, but I want to state that the EU needs to go after every company which is avoiding paying tax. That said, they should go after the biggest and easiest fish first. > Tax avoidance in the EU isn’t an oversight it’s a deliberately orchestrated and legislated ordeal which was established to favor EU corporations. Pot, meet kettle. AFAIK, no EU corporations follow the Irish-Dutch construction. Starbucks, for example, had to pay back money as well. If you want to do business in the EU, you're going to pay income tax. Simple. > This is selective enforcement the EU didn’t go after Lidl which keeps much of its Tax books private Lidl is not keeping its tax books in UK private anymore since 2014 [3]. For completion, here's a list of companies following the double Irish with a Dutch sandwich construction [4]. [1] https://en.wikipedia.org/wiki/Delaware_General_Corporation_Law#Tax_benefits_and_burdens https://en.wikipedia.org/wiki/Delaware_General_Corporation_L... [2] https://www.nu.nl/beurs/2795797/shell-draagt-10-miljard-af-overheid.html https://www.nu.nl/beurs/2795797/shell-draagt-10-miljard-af-o... [3] http://www.bbc.com/news/business-28416081 http://www.bbc.com/news/business-28416081 [4] https://en.wikipedia.org/wiki/Double_Irish_arrangement#Companies_using_the_arrangement https://en.wikipedia.org/wiki/Double_Irish_arrangement#Compa...

dogma1138 9y ago

For the same reasons as Delaware, the legal framework and establishment are favorable but there is nothing criminal in this. As for the second parts it’s every large non-EU corporation and that is the problem. These acts as well as the anti trust investigation into Google and other such affairs is a protective response to the lack of competitiveness from EU corporations primarily in Tech. Tax avoidance in the EU isn’t an oversight it’s a deliberately orchestrated and legislated ordeal which was established to favor EU corporations. Since the EU seemed to nearly skip the tech giant bubble and it’s largest corporations are primarily ancient energy and finance giants it now goes after US corporations which have subsidiaries in the EU. This is selective enforcement the EU didn’t go after Lidl which keeps much of its Tax books private it didn’t go after BNP, Shell, ING and the like all of which also excel at not paying.

throwawaymanbot 9y ago
Dogma, you are insistent that the EU is biased. Yet you show no proof. Prove, or stop saying this garbage.
Fnoord 9y ago
> For the same reasons as Delaware, the legal framework and establishment are favorable but there is nothing criminal in this. What you omit is that it is favorable because there is no income tax [1]: "Delaware charges no income tax on corporations not operating within the state, so taking advantage of Delaware's other benefits does not result in taxation." European companies cannot incorporate in Delaware. If they would, they'd fall under US law. Now, if the United States of America wishes to keep legal frameworks like these intact that is mostly the loss of all of the US citizens, although also a problem for competition due to lower prices. You are deceiving when you claim Shell is paying no tax. I have a Dutch source with data saying they paid 10 billion in 2010 in The Netherlands [2]. I don't know if this fair or not, but I want to state that the EU needs to go after every company which is avoiding paying tax. That said, they should go after the biggest and easiest fish first. > Tax avoidance in the EU isn’t an oversight it’s a deliberately orchestrated and legislated ordeal which was established to favor EU corporations. Pot, meet kettle. AFAIK, no EU corporations follow the Irish-Dutch construction. Starbucks, for example, had to pay back money as well. If you want to do business in the EU, you're going to pay income tax. Simple. > This is selective enforcement the EU didn’t go after Lidl which keeps much of its Tax books private Lidl is not keeping its tax books in UK private anymore since 2014 [3]. For completion, here's a list of companies following the double Irish with a Dutch sandwich construction [4]. [1] https://en.wikipedia.org/wiki/Delaware_General_Corporation_Law#Tax_benefits_and_burdens https://en.wikipedia.org/wiki/Delaware_General_Corporation_L... [2] https://www.nu.nl/beurs/2795797/shell-draagt-10-miljard-af-overheid.html https://www.nu.nl/beurs/2795797/shell-draagt-10-miljard-af-o... [3] http://www.bbc.com/news/business-28416081 http://www.bbc.com/news/business-28416081 [4] https://en.wikipedia.org/wiki/Double_Irish_arrangement#Companies_using_the_arrangement https://en.wikipedia.org/wiki/Double_Irish_arrangement#Compa...