Wednesday, 4 April 2012

So what if Amazon operates out of Luxembourg?

Over at the Guardian I learn that book-seller Amazon is facing a shake-down from the government's tax enforcers, and the Graun is doing its bit to make its readers feel like somehow they've been ripped off too.

Personally, I don't care if they don't pay a penny to the thieving, murderous British state. I'd do the same if I could. Here's the line that launched this post:
"The Guardian asked Amazon why it paid no UK corporation tax on the £3bn it takes out of the economy. "
What is this, the 18th Century? The Graun might not have noticed, but Amazon has not just taken that money for nothing in return - like the state does - it has provided billions of pounds worth of books, and if, by minimising its tax from the greedy bastards at the Treasury, it can do it cheaper than anyone else, good. To say this is not fair on other, less mobile, operations is like complaining that its not fair that a slave managed to escape, when the others are stuck on the plantation. The injustice is not the one that got away, but the imposition of the business-killing burden of our bloated, fascistically-inclined state. E.g. this, from the article:
"Amazon's UK operations are also poised to benefit from Luxembourg ownership in the battle for the lucrative and fast-growing ebook market. Being based in Luxembourg means it can charge VAT on ebook sales at the local rate of 3% rather than the 20% VAT imposed on British-based ebook retailers."
Rather than sending in the goon-squad, the Treasury should deal with the root of the problem, and if it's not sure how to do that, may I suggest taking a mirror and looking in it.


Mark Wadsworth said...

Exactly, I don't believe in taxing profits and output, so I'm indifferent.

As long as Amazon pay Business Rates (i.e. Land Value Tax) on their UK warehouses and offices, and as long as their delivery drivers pay fuel duty to drive on UK roads, then that's all sorted.

Bill said...

My fledgling business is in the process of being set up in a jurisdiction beyond the grasp of the UK government.
Once you get to grips with the process it's not hard and not that expensive. More than worth the effort.

A K Haart said...

"it can charge VAT on ebook sales at the local rate of 3% rather than the 20% VAT imposed on British-based ebook retailers."

So British-based ebook retailers will copy Amazon if they have any sense.

Dr Evil said...

A 3% sales tax is quite reasonable. a 20% sales tax is incredibly high and shgows contempt for the purchaser.

James Higham said...

The greed of our Treasury knows no bounds - you can see their slavering chops.