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Amazon is not paying its fair share of taxes, says UK’s chair of public accounts Margaret Hodge. And she’s urging consumers to boycott until it does.
Hodge says it’s an “outrage” that the Seattle-based company has finagled its way out paying a lot of taxes by having payments for products ordered by European shoppers channeled through one of its subsidiaries in low-tax Luxembourg.
For the average worker who pays taxes, it’s unfair, says at least one Member of Parliament, when an American multinational gets away with such large-scale tax avoidance. Furthermore Amazon is damaging British jobs, because small bookshops and even larger ones can’t compete with Amazon’s prices, because they do pay their fair share of taxes.
Amazon’s Christopher North defends the company’s practice by insisting it’s legal. Which is why leaders are looking at international tax laws and reforms for multinationals.
But in the meantime boycotting is also legal, and Hodge is urging British shoppers to practice this action that worked so well on Starbucks the year before. Insist Amazon pay the UK its fair share of taxes!
We, the undersigned, agree consumers have the power to make Amazon pay its fair share of taxes.
According to reports, Amazon is not only getting an unfair advantage over other book retailers because it pays less taxes, but it is also using its increased monetary power to take unfair advantage of workers and businesses with whom it’s negotiating.
While Amazon continues to invest in the UK by expanding its warehouses, critics of the company claim it is setting up in poor neighborhoods and recruiting most of its workers from outside agencies and paying them minimum wage. The company benefits from huge state subsidies for building in rundown areas, but doesn’t pass on that advantage to those living there.
Whatever its justification for paying less taxes, a company that sold £4.3 billion worth of goods can do better for its workers and the country that provides huge subsidies to support its expansion.
We insist that Amazon pay its fair share of taxes!