This reminds me of the method used by Starbucks to avoid paying tax in the UK [1]. They set up their UK operations as a separate legal entity, and then charge i

This reminds me of the method used by Starbucks to avoid paying tax in the UK [1]. They set up their UK operations as a separate legal entity, and then charge it considerable licensing fees for the use of the Starbucks brand. This way, the UK branch appears to be making a loss on paper, when it is actually generating considerable revenue. [1]. http://www.bbc.co.uk/news/business-19967397 http://www.bbc.co.uk/news/business-19967397