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£525 million in revenue. £0 in corporation tax. Last year, Starbucks reportedly paid 0% in UK corporation tax, not because they broke the rules, but because of how profits were structured. By paying tens of millions in royalty fees to a US entity within the group, their UK business recorded a loss on paper. And when a company reports a loss… there’s no corporation tax to pay. It’s legal. It’s strategic. But it’s also why many people choose to shop independent, because local businesses don’t have
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@starbucks paid £0.00 in corporation tax last year for its UK retail business, despite making £500 million in sales. If just 10% of those sales were taxed it could likely pay for over 1,000 new nurses. What’s the solution? People have advocated support for local, independent coffee shops and for MPs to push for global solidarity on corporations. Filming, editing and captions by: @graeme_smith Sources: Fair Tax Foundation, @ethical_consumer_magazine, The Guardian | NOVO ORG
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