Friday, October 16, 2015

Facebook under declare tax?

Facebook has insisted it is complying with the law despite paying just £4,327 in corporation tax for the whole of last year.

The amount is less than the average UK worker, who with an annual salary of £26,500, would contribute a total of £5,393 through income tax and national insurance.

According to the company’s accounts, Facebook pushed itself into operating at a loss of £28.5m in Britain, following a payout of more than £35m to staff as part of a share bonus scheme.

For me, it's on the tax agent, whom furnished and submitted the tax return should be accountable too. Of course, the tax agents would have consulted and discussed on the final figure to be submitted.

Facebook could have got special exemptions, double tax relief or reduction in rates. Perhaps, it's time for Facebook or the Inland revenue board should start speaking on the logic of the tax return figure. 

No comments: