4 ms·

Apple isnt paying that though, the consumer is.

• tonyedgecombe 7y ago
  It doesn't really make much difference, the consumer sees a price that includes VAT and the tax is paid.
  • benj111 7y ago
    The article is about Apple only paying £3.8m tax, the OP is pointing out they're paying Vat, the implication is they're paying much more. In that situation it does make a difference.
    • tonyedgecombe 7y ago
      If you are looking at it from the perspective of enough tax being paid then it doesn't really matter. If you are trying to consider whether it is fair then you would dump corporation tax in an instant and start considering capital gains and dividends as normal income.
      • benj111 7y ago
        Corporation tax is trending down, basically because companies can move where its lowest. I'm not sure where the fairness comes in, what's unfair about corporation tax? Taxing dividends as income seems sensible, capital gains should be distinct. You can make a loss for a start. The income tends to be lumpier, if you sell you business for $100k should you be taxed as earning $100kpa when that's your income from 5 years work?
        • tonyedgecombe 7y ago
          what's unfair about corporation tax It's easier for big companies to avoid it giving them an unfair advantage over their smaller competitors. Also, at least in the UK, it's often used as a way for employees to avoid paying income tax. The tax authorities have been trying to stop this for years with questionable success.
          • benj111 7y ago
            "The tax authorities have been trying to stop this for years with questionable success" The recent dividend allowance changes have I believe negated the advantages, that's what they're supposed to do at least, you're always going to have problems when the rules are written down, and people can choose when and how they pay themselves in a way that most advantages themselves. We seem to be on the same page re corporation tax. I wouldn't say its the tax itself that's unfair, just the people 'avoiding' it.
• loxs 7y ago
  Do you really believe that if Apple wasn't able to reduce its official profits, the iPhone prices wouldn't rise in that country?
  • benaadams 7y ago
    And those price rises would increase their profits which would ...
  • benj111 7y ago
    Is your implication that the tax would be paid anyway? You could equally say that if Apple didn't exist, people would buy a smartphone anyway, so the Vat would be paid anyway.