Â£ 130 million is the amount that Google has agreed to pay the BritishÂ Government. This is the amount of tax has Google lost since 2005-2015.
SAN FRANCISCO â€” Google will pay about $140 million in British back taxes in a concession driven by a shift in how the Internet company will measure its success in the UK. The amount translates into 130 million pounds.
The accord, disclosed Friday, comes amid mounting criticism that Google and other major U.S. companies have been scrimping on their tax bills with a variety of accounting maneuvers that have rankled governments around the world.
“Giants” American technology Google has agreed to pay the British government 130 million pounds ($ 185 million equivalent) tax arrears in the past decade, and will play a much more tax to the UK in the future .
This is the result of an agreement reached between the British government and Google representatives, after the controversy surrounding the technology firms have transferred billions in profits from the UK to other countries to enjoy the income tax rate lower now.
Google’s commitment is expected to make progress in the fight against tax evasion in the United Kingdom and many other countries.
In recent years, “the Giants” technology from the United States has faced much criticism for the legal risk to switch most of its profits from its subsidiaries in the UK and Europe through Ireland to Bermuda – where it does not pay corporate income tax.
In 2013, Google has faced investigation by the British Parliament after Reuters published a report showing the actual Google has hired hundreds of salespeople in the UK although the company still insisted not conduct business in this country.
Therefore, the British finance minister George Osborne, said the agreement has achieved the success of the UK Government and is a big step in easing the grievances of the people of large companies use multiple “way “to evade the payment of taxes.
George Osborne, Britain’s finance minister nouis: “Now that there are companies like Google pay taxes and I want to spread the message that, in the UK tax rate is low and they pay taxes to the British government. I hope there will be more companies follow Google “.
Britain is Google’s biggest market outside the US, with 2,400 employees. From 2005 to 2013, sales of the “giant” American technology in England, was 17 billion pounds, but now only pay about 52 million pounds in taxes, which is only about 0.3% of their profits Google.