Dodgy deals on wheels

[BrilloPad]

... feels like I've just thrown a lump of raw meat dripping with blood into the lion's den

I remember the good old days when the BN66 was DR and me against allcomers with no mod protection. That was quite good fun.

Though a mere bagatelle compared to an average day in general. A very scary place.

[ASB]

Franchising models are open to market and it's commercial business of the parent company to have such franchise model (unlike what is done by Google), where as those big companies effectively set price for themselves, UK's subsidiary of Google is wholly owned by them, it makes zero sense to charge that division anything other than to reduce tax liability here.



That would have same effect as if that payment was not allowed to be offset against corp tax.

SKA Inc buys lots of servers that are necessary for operations, yet we can't write them off against tax (other than annual allowance which has been temporarily increased), it's a crazy situation that we are effectively taxed for NOT going for leasing (which is fully deductable) and instead prefer to have real balance sheet rather than shell of company that owns nothing. That's wrong, yet those artificial fees are fully tax deductable - total BS.

The effectf is different. It is who pays. I suggested the parent, which makes the profit by virtue of the fee, pays. That doesnt necessarily affect the solvency of the local entity.

licence type fees have been a bit of an issue for many years. But it will take global agreenent for anything significant to happen.

[AtW]

The effectf is different. It is who pays. I suggested the parent, which makes the profit by virtue of the fee, pays. That doesnt necessarily affect the solvency of the local entity.

So basically withholding tax equivalent to corp tax on such fees? Because the parent won't be tax resident in UK. I suppose it's not the same actually, better than my idea of not allowing that cost to be treated as tax deductable.

I am pretty sure if that happened such fees would magically disappear and the barstewards would just use another scheme.

[SantaClaus]

I remember the good old days when the BN66 was DR and me against allcomers with no mod protection. That was quite good fun.

Though a mere bagatelle compared to an average day in general. A very scary place.

Yep mate. I try not to hang around here for too long, for my own sanity

[d000hg]

if we did it, it would be tax evasion

That's like saying "if I drove my car to the moon, it would be a spaceship". We don't run company groups owning legally discrete subsidiary companies in many different countries.

[ASB]

So basically withholding tax equivalent to corp tax on such fees? Because the parent won't be tax resident in UK. I suppose it's not the same actually, better than my idea of not allowing that cost to be treated as tax deductable.

I am pretty sure if that happened such fees would magically disappear and the barstewards would just use another scheme.

In effect. Yes. But, it's all OK. They've fixed it all at G20.

He said the finance ministers had also "come together to say it is not fair if big companies avoid their taxes by shifting their profits around artificially to different countries".

So it's all completely fixed.