[governance] Re: Telecom TV on Google and Taxes

[Louis Pouzin (well)]

When an industry gets subsidies, like Boeing or Airbus, it's fiscally
legal, except that each one, or their govt, may sue the other for unfair
competition, usually in the WTO.

When Google doesn't pay taxes, it's de facto subsidies, and unfair
competition towards any non US business trying to compete with Google. It's
actually double subsidies. Indeed subsidies are usually paid by govt
wanting to help their national industry. In Google's case it's paid by
govts (read taxpayers) in non US countries. Isn't scam ?

Louis
- - -

On Thu, Dec 13, 2012 at 2:05 PM, McTim <dogwallah at gmail.com> wrote:

> On Thu, Dec 13, 2012 at 7:41 AM, parminder <parminder at itforchange.net>
> wrote:
> >
> > Dear Carlos
> >
> > I agree that any position that IGC takes should follow an informed
> > discussion. I will try to contribute to it.
> >
> > A few points. (below)
> >
> >
> > On Thursday 13 December 2012 05:24 PM, Carlos A. Afonso wrote:
> >
> > 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?
> >
> >
> > Governments have general tax laws and structures and obviously not
> specific
> > to a company. The problem is that google builds a complex web of
> operations
> > and entities to make their tax liabilities move to some tax havens (in
> this
> > case, Bermuda). While non networked-digital businesses also do such
> things,
> > it is so much easier for networked-digital businesses like google because
> > the transactions themselves take place in the cyberspace.
>
> You have zero basis in fact for making this assertion.
>
> I make transactions in cyberspace, my local hardware store makes
> transactions in cyberspace,
> Google does the same.  How is it easier for Google?  Do they have some
> special Internet banking "pipe" that we don't have?
>
>
> >
> > Such a situation requires (1) national laws to be reformed to deal with
> the
> > new situation, (2) international taxation treaties, and norms (model tax
> > codes like OECD has) which can harmonise tax laws enough to enable
> countries
> > to collect their tax dues and disable, or reduce, illegitimate tax haven
> > systems. Point (2) becomes even more important, and perhaps central, in a
> > globally distributed businesses like that of google which are conducted
> in
> > cyberspace.
>
> Then do 1 and 2, but don't criticize companies for doing things that are
> legal!
>
> --
> Cheers,
>
> McTim
>
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://lists.igcaucus.org/pipermail/governance/attachments/20121213/72239a62/attachment.htm>
-------------- next part --------------
____________________________________________________________
You received this message as a subscriber on the list:
     governance at lists.igcaucus.org
To be removed from the list, visit:
     http://www.igcaucus.org/unsubscribing

For all other list information and functions, see:
     http://lists.igcaucus.org/info/governance
To edit your profile and to find the IGC's charter, see:
     http://www.igcaucus.org/

Translate this email: http://translate.google.com/translate_t