Brief on Company Taxation: CEO of Citizen's Advice Bureau

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Brief on company taxation: CEO of Citizen's Advice Bureau In America, there has recently been a great deal of talk about tax policies which favor the rich and unfairly burden the poor. However, the benefits given to corporations make the advantages extended to individuals pale by comparison. By 'routing' profits through Bermuda, Puerto Rico and other notable tax havens, esteemed corporations like Microsoft, Google, and Apple have been effectively able to skirt the 35% corporate tax in America. Even for the profits recorded as existing in America, "through tax breaks and loopholes," the average amount these companies will pay upon their earnings is a mere 17.3% (The price isn't right, 2013, The Economist). Apple is particularly crafty in its ability to dodge state corporate taxes. Although the company is based in California, its official location is in Reno, Nevada, which has no state corporate tax rate, in contrast to California's 8.84 percent (Report: Apple legally avoids billions in taxes, 2012,CBS News). These companies advertise themselves as ethical entities, and this is part of their marketing 'positioning.' In doing so, they are depriving the American taxpayer of the ability to profit off of the corporation's gains. This means that the lost revenue must be 'made up for' by increases in individual citizens' taxes, from people who can ill afford additional financial burdens. The trend of tax evasion is common to the whole of the developed world, not just America:

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