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The software group Palantir paid just £2M in corporation tax in the UK in 2024

theguardian.com

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Re: The software group Palantir paid just £2M in corporation tax in the UK in 2024

#11

Post by helsinkiandrew »

dosinga wrote: post #4

this is probably an unpopular opinion, but isn't this working as intended: * Palantir started in the US as a start up and burned a lot of money building the systems they are running today and that are finally profitable * Those systems are used from the UK subsidiary but if a different consultancy would use them, they would be billed accordingly. That's transfer pricing The article says as much. Before Palantir has t…

There's some of that, but a large part of the "Palantir magic" is the on-premises services - integration, customisation, training & support. There's almost 1000 UK employees that got paid 40% of revenue.

Re: The software group Palantir paid just £2M in corporation tax in the UK in 2024

#12

Post by smashah »

iamacyborg wrote: post #8
freakynit wrote: post #2

In case anyone is interested in knowing the "how" part, read this: https://palantir-uk-tax-evasion.pagey.site/

Hard to look past the claude slop design

Is it? Looks perfectly legible. Do people expect their forest-ignoring tree-nitpicking validated nowadays?

Re: The software group Palantir paid just £2M in corporation tax in the UK in 2024

#14

Post by iamacyborg »

smashah wrote: post #12
iamacyborg wrote: post #8

Earlier quoted context omitted.

Hard to look past the claude slop design

Is it? Looks perfectly legible. Do people expect their forest-ignoring tree-nitpicking validated nowadays?

If the website looks like slop, why would anyone believe the content in it to be anything but slop too?

Re: The software group Palantir paid just £2M in corporation tax in the UK in 2024

#15

Post by Nursie »

helsinkiandrew wrote: post #5
freakynit wrote: post #2

In case anyone is interested in knowing the "how" part, read this: https://palantir-uk-tax-evasion.pagey.site/

It's mentioned in the article: > contracts with customers were signed with Palantir’s US companies, which in turn paid a service fee to local country subsidiaries to deliver the work. Similar trick are used by many companies, for example Starbucks UK conveniently paid £40m in "royalty and license fees" to the parent company resulting in a £35m loss in the UK. https://www.theguardian.com/business/2025/apr/15/starbucks…

There's a coal mine here in Australia (NT I think) run by a company called Adani. When it was being proposed they did the usual "but think of all the taxes!" song and dance to get it approved.

It's never posted a profit despite about a billion in annual revenue, and so never paid a penny of corp tax.

Personally I think the tax authorities ought to take the line that a company posting losses like this is clearly not a viable, ongoing concern and ought to be wound up.

If Starbucks UK is a loss-making venture, they should have some explaining to do when they're opening new branches.

Re: The software group Palantir paid just £2M in corporation tax in the UK in 2024

#16

Post by bko »

helsinkiandrew wrote: post #5
freakynit wrote: post #2

In case anyone is interested in knowing the "how" part, read this: https://palantir-uk-tax-evasion.pagey.site/

It's mentioned in the article: > contracts with customers were signed with Palantir’s US companies, which in turn paid a service fee to local country subsidiaries to deliver the work. Similar trick are used by many companies, for example Starbucks UK conveniently paid £40m in "royalty and license fees" to the parent company resulting in a £35m loss in the UK. https://www.theguardian.com/business/2025/apr/15/starbucks…

This seems entirely reasonable. Suppose you're a company and you lost $100m over the last few years, so naturally you have a sizable tax deduction from future earnings. Even if you're profitable now, over the life of your business you've lost money so it makes sense you don't pay taxes until you make back that $100m you lost.

If you begin selling in a different tax jurisdiction, that would be unfair that you have to start paying corporate taxes despite being unprofitable. It's not a brand new company and you're using the resources you built in the other country so royalty and licensing fee make sense. In other words, Starbucks brand name and operational efficiencies are assets that were developed in the US, so the US subsidiary should receive revenue from the service to the UK branch

Re: The software group Palantir paid just £2M in corporation tax in the UK in 2024

#17

Post by freakynit »

iamacyborg wrote: post #8
freakynit wrote: post #2

In case anyone is interested in knowing the "how" part, read this: https://palantir-uk-tax-evasion.pagey.site/

Hard to look past the claude slop design

I use claude designed markdown renderer. This site is using the same.

Others, for example using the same renderer:

1. NPM Supply Chain Attack Techniques: https://npm-supply-chain-attack-techniques.pagey.site/

2. NPM Ecosystem Threat Report: https://npm-supply-chain-attacks-25-26.pagey.site/

AI generated "slop" is here, and it's here to stay. In case you do find some error in content, point that out please.

Re: The software group Palantir paid just £2M in corporation tax in the UK in 2024

#19

Post by Nursie »

bko wrote: post #16
helsinkiandrew wrote: post #5

Earlier quoted context omitted.

It's mentioned in the article: > contracts with customers were signed with Palantir’s US companies, which in turn paid a service fee to local country subsidiaries to deliver the work. Similar trick are used by many companies, for example Starbucks UK conveniently paid £40m in "royalty and license fees" to the parent company resulting in a £35m loss in the UK. https://www.theguardian.com/business/2025/apr/15/starbucks…

This seems entirely reasonable. Suppose you're a company and you lost $100m over the last few years, so naturally you have a sizable tax deduction from future earnings. Even if you're profitable now, over the life of your business you've lost money so it makes sense you don't pay taxes until you make back that $100m you lost. If you begin selling in a different tax jurisdiction, that would be unfair that you have to…

In a convenient amount that somehow just always exceeds the profits it makes, in perpetuity?

Pull the other one mate, it's got bells on.

Re: The software group Palantir paid just £2M in corporation tax in the UK in 2024

#20

Post by BrandoElFollito »

I seriously do not understand why companies pay taxes on the income and not the revenue. (EDIT: I mixed them up)

I pay on the revenue. I also buy things. I also consume. And somehow I can manage with taxes on the revenue.

This would also solve the problem of companies that get 10 M€ in revenue, but somehow only 10€ is taxed because expenditure, capex etc

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