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Profits are always shifted legally. For example Google Australia is separate entity from Google Ireland. What Google au might do is 'lease' trademarks, copyrigh
by ganeshkrishnan 9y ago
Profits are always shifted legally. For example Google Australia is separate entity from Google Ireland. What Google au might do is 'lease' trademarks, copyrights, logo etc from Google Ireland and pay them for it. The amount paid varies year to year but all of it is legal and money this changes countries legally. This is Google au expense that's tax deductible.
Also, I chose Ireland as an example because it offers tax concessions to industries ( at least it did in 2006 when I was in the valley)
- saas_co_de 9y ago> Profits are always shifted legally That is highly debatable. Companies and wealthy individuals obtain "legal opinions" from lawyers stating that these schemes are legal, but that is just cover from criminal prosecution. Any government can declare any of these schemes invalid at will and impose any tax they want. Taxation at this level is a complicated business though. These corporations are larger than most of the world's governments and their owners are permanent not elected.
- tonyedgecombe 9y ago>Profits are always shifted legally. That doesn't mean it isn't a problem.