<html><head><meta http-equiv="content-type" content="text/html; charset=utf-8"></head><body dir="auto"><div>At least, a matter for a different part of the UN that you would not particularly consider cyber ..</div><div><a href="http://www.un.org/esa/ffd/tax/manual.htm">http://www.un.org/esa/ffd/tax/manual.htm</a></div><div><br></div><div>And OECD does have a working set of best practices, despite some people on this list detesting it as a rich countries club, dubbing their policy recommendations "forcing regulation" on other countries. <a href="http://www.oecd.org/tax/fightingtaxevasion.htm">http://www.oecd.org/tax/fightingtaxevasion.htm</a><br><br>--srs (iPad)</div><div><br>On 16-Dec-2012, at 19:42, Jacqueline Morris <<a href="mailto:jam@jacquelinemorris.com">jam@jacquelinemorris.com</a>> wrote:<br><br></div><blockquote type="cite"><div><span>Not defending Google per se, but...</span><br><span></span><br><span>Leaving out the cyberspace part for the moment, ALL companies seek to</span><br><span>reduce costs, including taxes. Mattel, DuPont, GE, Pfizer all pay</span><br><span>little or no tax. Some even get tax rebates based on billion dollar</span><br><span>profits. (Yes, that's madness, for a company to have a -57% effective</span><br><span>tax rate, on profits in the billions, but it's the law.)</span><br><span>Google legally routed profits and reduced their tax bill. It's the</span><br><span>fault of the UK tax regime that allowed them to shift profit overseas</span><br><span>and not pay taxes on it.</span><br><span></span><br><span>Yes, this is a problem for countries, but it is not incumbent on a</span><br><span>company to fix the tax regime of a country in which it operates. The</span><br><span>Govts need to make sure that the routing of profits that companies</span><br><span>currently do legally, to reduce the tax that is owed, is no longer</span><br><span>legal. Taxation regimes around the world are complex, full of</span><br><span>loopholes put in to support "friends of govt" which are then are used</span><br><span>by others, and oops! we've got no tax revenue coming in, and the</span><br><span>companies that filled out their tax bill according to the law are</span><br><span>suddenly evil. CS can and should work on the governments to close</span><br><span>these loopholes that they create for their friends and for the</span><br><span>lobbyists. But is this totally IG? I don't think so.</span><br><span></span><br><span>I understand where Parminder is coming from, with the idea that small</span><br><span>and developing countries do not have the size/power to say - pay our</span><br><span>taxes or else. But this isn't IG, in my opinion.</span><br><span></span><br><span>The IG part is figuring out what portion of value and business, and</span><br><span>hence tax revenue, goes where in a mutli</span><br><span>-national/multi-jurisdictional cyber transaction. And to that, the IGC</span><br><span>can, and should, look at this issue, look at the harmonisation efforts</span><br><span>going on in Europe and elsewhere, and suggest workable mechanisms for</span><br><span>collection and fair/equitable division of revenues from these</span><br><span>transactions.</span><br><span></span><br><span></span><br><span>Jacqueline A. Morris</span><br><span>Technology should be like oxygen: Ubiquitous, Necessary, Invisible and</span><br><span>Free. (after Chris Lehmann )</span><br><span></span><br><span></span><br><span></span><br><span>On Thu, Dec 13, 2012 at 7:54 AM, Carlos A. Afonso <<a href="mailto:ca@cafonso.ca">ca@cafonso.ca</a>> wrote:</span><br><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>Dear Parm, unfortunately (again) I am unable to follow up closely on the thread. But one point intrigues me: taxes are determined by governments within their geopolitical boundaries. Why don't governments charge appropriate taxes (if any) on services such as Google's?</span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>The point is: I do not think a corporation of that size just evades taxes and keeps an eye for what may happen. The certainly know about tax legislation in the countries they have operations.</span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>What is the proper way to define a policy on this for us?</span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>frt rgds</span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>--c.a.</span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>On 12/13/2012 02:33 AM, parminder wrote:</span><br></blockquote><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>Rather shameful that google paid 3 percent tax on its overseas profit!!</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>It surely leaves it with a lot of money to spend in lobbying and</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>advocacy efforts to keep global markets free for its unlettered</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>operations... Like organising campaigns against ITU, German legislature,</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>and so on.</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>Would IGC write an open letter to Google that its tax evasion policy is</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>anti people, and it should pays its taxes where it makes its profit. (Or</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>is it that the IG civil society does not go into such re-distributional</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>questions ) It is not rhetorical but a real question to the list, and</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>its coordinator.</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span> parminder</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span>On Wednesday 12 December 2012 09:37 PM, Salanieta T. Tamanikaiwaimaro wrote:</span><br></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>More on Bloomberg:</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span><a href="http://www.bloomberg.com/news/2012-12-10/google-revenues-sheltered-in-no-tax-bermuda-soar-to-10-billion.html">http://www.bloomberg.com/news/2012-12-10/google-revenues-sheltered-in-no-tax-bermuda-soar-to-10-billion.html</a></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>On Thu, Dec 13, 2012 at 4:48 AM, Salanieta T. Tamanikaiwaimaro</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span><<a href="mailto:salanieta.tamanikaiwaimaro@gmail.com">salanieta.tamanikaiwaimaro@gmail.com</a></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span><<a href="mailto:salanieta.tamanikaiwaimaro@gmail.com">mailto:salanieta.tamanikaiwaimaro@gmail.com</a>>> wrote:</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Somehow it feels that there is a targeted media campaign out</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> against the likes of Google and other mncs - the timing of the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> release is almost impeccable with the WCIT.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Source:</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <a href="http://www.telecomtv.com/comspace_newsDetail.aspx?n=49763&id=e9381817-0593-417a-8639-c4c53e2a2a10">http://www.telecomtv.com/comspace_newsDetail.aspx?n=49763&id=e9381817-0593-417a-8639-c4c53e2a2a10</a></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Google “can make money without doing evil” (as it evades $2bn in</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> taxes)</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Posted By TelecomTV One</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.telecomtv.com/go/?ct=9&id=e9381817-0593-417a-8639-c4c53e2a2a10">http://www.telecomtv.com/go/?ct=9&id=e9381817-0593-417a-8639-c4c53e2a2a10</a>> ,</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> 12 December 2012 | 1 Comments</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.telecomtv.com/comspace_newsDetail.aspx?n=49763&id=e9381817-0593-417a-8639-c4c53e2a2a10#comments">http://www.telecomtv.com/comspace_newsDetail.aspx?n=49763&id=e9381817-0593-417a-8639-c4c53e2a2a10#comments</a>> |</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> [0 people rated this an average of 3/5] [0 people rated this an</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> average of 3/5] [0 people rated this an average of 3/5] (0)</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Tags: /Google</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.telecomtv.com/results.aspx?tag=122&tagname=Google">http://www.telecomtv.com/results.aspx?tag=122&tagname=Google</a>>/</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> /corporate</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.telecomtv.com/results.aspx?tag=6972&tagname=corporate">http://www.telecomtv.com/results.aspx?tag=6972&tagname=corporate</a>>/ /tax</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.telecomtv.com/results.aspx?tag=434&tagname=tax">http://www.telecomtv.com/results.aspx?tag=434&tagname=tax</a>>/</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> /Finance</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.telecomtv.com/results.aspx?tag=365&tagname=Finance">http://www.telecomtv.com/results.aspx?tag=365&tagname=Finance</a>>/</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> As the net closes around the multinationals that avoid paying</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> corporation taxes, Google is accused of saving $2bn by routing</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> income through a “Double Irish Dutch Sandwich”, paying tax of just</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> 3.2 per cent on its overseas profits. Guy Daniels reports.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Three questions. One; where do you stand on the subject of tax</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> avoidance? We at TelecomTV believe that individuals and</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> corporations have a duty to pay their fair share of tax. By fair,</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> we mean whatever respective governments rule to be the legal</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> requirement (after all, in most countries, we voted the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> politicians in to office). By all means try and mitigate the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> amount of tax you have to pay, using whatever accepted mechanisms</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> are available. But avoidance? That just means somebody else (with</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> far less access to expensive and clever advisors) has to</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> contribute to your share as well.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Second question: how do you define evil? The Oxford English</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Dictionary defines evil as “profoundly immoral and wicked” or</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> “something which is harmful or undesirable”. In my book, that</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> means tax avoidance is evil, simple as that.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Third and final question: Is Google evil? If you believe that</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> avoiding tax is wrong (especially through aggressive and</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> mind-boggling complicated avoidance schemes) and if you believe</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> that depriving society of tax revenues is wrong (and so reducing</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> the level of available State support for the most needy) and could</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> be described as an evil act, then surely you must conclude that</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Google is acting in an evil manner.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> An investigative report by Bloomberg</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.bloomberg.com/news/2012-12-10/google-revenues-sheltered-in-no-tax-bermuda-soar-to-10-billion.html">http://www.bloomberg.com/news/2012-12-10/google-revenues-sheltered-in-no-tax-bermuda-soar-to-10-billion.html</a>> has</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> discovered that Google avoided about $2 billion in worldwide</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> income taxes in 2011 by shifting $9.8 billion in revenues into a</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Bermuda shell company – almost double its total from three years</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> ago. The information was disclosed in a November filing by a</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Google subsidiary in the Netherlands, which was discovered by</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> reporters from Bloomberg.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> It appears that Google legally routed profits from overseas</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> subsidiaries into Bermuda, which doesn’t have a corporate income</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> tax, thereby enabling it to cut its overall tax rate almost in</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> half. Bloomberg says the amount moved to Bermuda is equivalent to</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> about 80 per cent of Google’s total pretax profit in 2011.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Tax evasion and avoidance costs the European Union a staggering €1</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> trillion a year. That’s worth dwelling on for a moment longer…. €1</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> trillion. No wonder politicians are now acting to try and prevent</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> this financial loss and branding such acts as scandalous and immoral.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Bloomberg has a good quote from a UK-based tax accountant, which</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> pretty much sums up the feeling in Europe at the moment. According</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> to Richard Murphy of Tax Research:</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> “The tax strategy of Google and other multinationals is a deep</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> embarrassment to governments around Europe. The political</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> awareness now being created in the UK, and to a lesser degree</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> elsewhere in Europe, is: It’s us or them. People understand that</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> if Google doesn’t pay, somebody else has to pay or services get cut.”</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Just look what happened to Starbucks. When the public discovered</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> the US coffee giant paid zero taxes in the UK (yes, absolutely</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> nothing at all), it started to boycott the chain.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Advertisement</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> As a result, Starbucks was forced to “volunteer” to pay taxes…</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> The UK is Google’s second-biggest market, responsible for about 11</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> per cent of its sales. Of the $4 billion it turned over last year,</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> it paid UK corporation tax of less than $10 million. Bloomberg</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> says Google avoids tax by using an Irish subsidiary to collects</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> revenues from ads sold in the UK, which then pays royalties to</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> another Irish subsidiary whose legal residence is in Bermuda.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Payments are then sent to yet another subsidiary in the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Netherlands (with no employees, note) before finally reaching the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> tax haven of Bermuda.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Sounds pretty ‘evil’ to me. And if so, then that’s against the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> internet company’s guiding principles. Stated clearly on the “Ten</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Things We Know to be True” page on Google</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.google.com/about/company/philosophy/">http://www.google.com/about/company/philosophy/</a>>’s website is the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> following:</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> “You can make money without doing evil.”</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> I’m sorry, Google, but I don’t see how avoiding tax is anything</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> but evil. Of course you – and all companies – have a duty to</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> shareholders to maximise profits. But there are rules. Some of</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> these are merely ethical, whilst some are legal. There is no</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> indication or suggestion that Google has acted illegally, but</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> there is every suggestion that it has acted unethically.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> And who said you can’t have ‘ethical companies’? Of course you</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> can. I don’t buy the ‘extreme capitalist’ viewpoint that</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> corporations will only act in self-interest and never “do the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> right thing” or pay their fair share. If their customers start to</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> boycott their services, then they’ll change. It happened with the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> sudden emergence of all the so-called ‘corporate responsibility’</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> positions that all featured heavily in annual reports. I don’t see</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> why it can’t happen with fair tax positions.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Other ICT companies reported in the media to be using this</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> complicated tax evasion (sorry lawyers, of course I mean</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> ‘mitigation’…) structure include Apple, Facebook, Microsoft and</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Oracle. Unfortunately, Google – and all the others, who no doubt</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> will soon be named and shamed – will continue their sharp</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> practices until they are forced to make a change. If governments</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> can’t do that through the legal process, then it’s up to customers</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> to vote with their feet and walk away from Google services. As</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Richard Murphy said, consumers are beginning to get the message</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> that it’s “us or them”, and we’re already being squeezed by the</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> many austerity measures that are in effect to drag us out of</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> recession.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Come on Google, time to step up to the plate and show some</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> leadership. Pay your fair share. And then the rest of the ICT</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> industry can do likewise. Or else remove that fatuous and</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> out-dated “don’t do evil” slogan from your website once and for all.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> _Further reading: _The Pearse Trust</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> <<a href="http://www.pearse-trust.ie/blog/bid/86105/US-Companies-Their-Use-Of-The-Double-Irish-Dutch-Sandwich">http://www.pearse-trust.ie/blog/bid/86105/US-Companies-Their-Use-Of-The-Double-Irish-Dutch-Sandwich</a>> blog</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> has a detailed explanation of the so-called “Double Irish Dutch</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span> Sandwich” tax scheme. Please don’t try and implement it.</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>--</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>Salanieta Tamanikaiwaimaro aka Sala</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>P.O. Box 17862</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>Suva</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>Fiji</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>Twitter: @SalanietaT</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>Skype:Salanieta.Tamanikaiwaimaro</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>Tel: +679 3544828</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span>Fiji Cell: +679 998 2851</span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote></blockquote><blockquote type="cite"><blockquote type="cite"><span></span><br></blockquote></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>____________________________________________________________</span><br></blockquote><blockquote type="cite"><span>You received this message as a subscriber on the list:</span><br></blockquote><blockquote type="cite"><span> <a href="mailto:governance@lists.igcaucus.org">governance@lists.igcaucus.org</a></span><br></blockquote><blockquote type="cite"><span>To be removed from the list, visit:</span><br></blockquote><blockquote type="cite"><span> <a href="http://www.igcaucus.org/unsubscribing">http://www.igcaucus.org/unsubscribing</a></span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>For all other list information and functions, see:</span><br></blockquote><blockquote type="cite"><span> <a href="http://lists.igcaucus.org/info/governance">http://lists.igcaucus.org/info/governance</a></span><br></blockquote><blockquote type="cite"><span>To edit your profile and to find the IGC's charter, see:</span><br></blockquote><blockquote type="cite"><span> <a href="http://www.igcaucus.org/">http://www.igcaucus.org/</a></span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><blockquote type="cite"><span>Translate this email: <a href="http://translate.google.com/translate_t">http://translate.google.com/translate_t</a></span><br></blockquote><blockquote type="cite"><span></span><br></blockquote><span></span><br></div></blockquote><blockquote type="cite"><div><span>____________________________________________________________</span><br><span>You received this message as a subscriber on the list:</span><br><span> <a href="mailto:governance@lists.igcaucus.org">governance@lists.igcaucus.org</a></span><br><span>To be removed from the list, visit:</span><br><span> <a href="http://www.igcaucus.org/unsubscribing">http://www.igcaucus.org/unsubscribing</a></span><br><span></span><br><span>For all other list information and functions, see:</span><br><span> <a href="http://lists.igcaucus.org/info/governance">http://lists.igcaucus.org/info/governance</a></span><br><span>To edit your profile and to find the IGC's charter, see:</span><br><span> <a href="http://www.igcaucus.org/">http://www.igcaucus.org/</a></span><br><span></span><br><span>Translate this email: <a href="http://translate.google.com/translate_t">http://translate.google.com/translate_t</a></span><br></div></blockquote></body></html>