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Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
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Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#172Meanwhile my (single-person) company is paying around 20% corporation tax, and then I'm getting taxed a further 20-40% on top of that when I pay myself.
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Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#173Earlier quoted context omitted.
25% is what I would expect. You're getting some of the other expenses back eventually (hopefully) in form of pensions, unemployment (if you ever need it) etc. Health itself is a service you are buying. I wouldn't call it a tax despite it being mandatory. I think taxes are too high and the system needs to be redesigned but I just think we need to be exact on our figures when we discuss this stuff.
it sure feels like taxes because it is based on your pay. In other countries like Switzerland it costs the same if you earn 5 or 10 k CHF.
In Germany health insurance for example is also based on income but it's capped. My point is that it is more nuanced than 40%. No one counts the money they get back from these programs when they need to use them in their calculation etc
Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#174Meanwhile my (single-person) company is paying around 20% corporation tax, and then I'm getting taxed a further 20-40% on top of that when I pay myself.
Yeah, it would be so nice if a lot of small companies got organized and tried to do these tricks together, just to show the ridiculousness of it all.
You miss the part where small companies have to compete against each other so organizing together would be impossible whereas entities like Microsoft, Facebook, Apple, Google, etc. are basically unregulated monopolies in their respective fields so they get to steer the ship as they please.
Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#175Earlier quoted context omitted.
€150/month for healthcare? Ya, that could work lost tax. Switzerland also pays for health insurance premiums post tax, but they are nowhere that cheap.
How much would you pay as a single person? And what does it cover? If you have a family, premiums increase significantly. In NL, €150 doesn’t cover emergency care, dental, eyes, or various specialists. Medicines and treatments are also part of the deductible.
400 CHF/month. If it doesn’t cover emergency care, then what good is it? You can’t really call it health insurance.
Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#176Earlier quoted context omitted.
Here in France, as a contractor, if I bill a client 100 000€ annually and decide to get as much as possible in personal income, 30 000€ will go as social taxes (health, retirement ...) and for the remaining 70 000€ you will have to pay around 25% as income tax (if you don't have any children). You will have an income of ~52 000€ for 100 000€ billed during the year. You're not earning millions and yet around 50% of re…
25% is what I would expect. You're getting some of the other expenses back eventually (hopefully) in form of pensions, unemployment (if you ever need it) etc. Health itself is a service you are buying. I wouldn't call it a tax despite it being mandatory. I think taxes are too high and the system needs to be redesigned but I just think we need to be exact on our figures when we discuss this stuff.
I get what you're saying, it's not strictly income tax, but the end result is the same : it's a mandatory tax, based on what you earn. As for getting these expenses back, I hope I will have work and be healthy for as long as possible, and I'm happy to pay these taxes for poorer people to get access to healthcare or unemployment benefits. But I sure feel ~50% of my income is going into taxes without being a millionaire.
Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#177Earlier quoted context omitted.
If you're in the UK and still using dividends as a significant method to self-compensate, you may benefit from speaking to a (better) accountant. (Your circumstances may vary, this is not financial advice, YOLO, etc)
It mostly depends if you intend to make significant pension contributions. Let's say your company has £100K to play with and you want it all. - You can pay yourself a £100K salary, of which take home pay will be about ~£67K - You can pay yourself a £8,840 salary tax free in order to qualify for the state pension but minimize national insurance, and pay 19% corporation tax on the remaining £91,160, which leaves £73,83…
Tax avoidance, helping the rich avoid paying for the society they benefit from since the year dot
Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#178Earlier quoted context omitted.
Won't work because all truly wealthy people can secure their wealth against inflation, while poor people cannot. As a simple example, consider owning a house vs. renting. If you own the house, the actual number doesn't matter. If you're renting, the ratio between rent and salary is highly critical for your lifestyle.
Add a UBI and it would work. There needs to be an economic floor which ensures there is no destitution. The aim isn't to get rid of wealth. The system now isn't working because wealthy people are securing their income and wealth without paying tax at the expense of social and civil programs.
Then UBI fails and everyone becomes a beggar. No thanks.
Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#179Earlier quoted context omitted.
No one pays that much in a progressive tax system. Every time this discussion comes up people spout off these numbers but if you calculate out how much you actually pay it's probably in the 20-30% of total salary range. That's still high but it's just dishonest and makes people look like idiots when they throw around 40% etc. If you are truly paying 40% of your income in tax you are earning millions and are benefitin…
I pay easily 40%+ effective tax on my income in NL. Not sure why you’re so dismissive of the poster.
Because many people in Western countries do not fully appreciate how well off they are in global terms.
https://www.icalculator.info/netherlands/income-tax-rates/20...
37.35% Income from €0.00 to €68,507.00
49.5% Income from €68,507.01 and above
So that other person is being dismissive (though dismissive is the wrong word) of the poster because generally at these sorts of rates you're earning greater than 99% of the people on the planet.
If you're earning greater than 99% of the people on the planet and you simultaneously think there's an injustice being done to you by the tax man then I would humbly submit that you could do with a reality check.
And we're not just talking about in comparison to the so-called global south here, there are many many people in the EU and around greater Europe who would be thrilled to be earning north of €70k a year.
Re: Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year
#180Earlier quoted context omitted.
We're also in the UK, make sure you're taking advantage of any tax benefits you may be entitled to such as R&D tax credits. They are back datable.
FYI, Ireland has not been in the UK since 1921.
FYI, if you look at OPs comments you will see they said they are in the UK.