British Prime Minister Boris Johnson said that he would make the Corporation of the rich man of the world Jeff Bezeka, Amazon, pay to the State Budget “fair share of taxes”, writes Bloomberg.
At the meeting with the head of Amazon Johnson plans to discuss the company’s tax reporting. World leaders doubt that technological honestly fulfills its obligations on deductions to the budgets of states. The British government is concerned about the payment of taxes by Amazon, since, according to The Guardian, its incomes in the UK increased by more than 50 percent in 2020, reaching 20.63 billion pounds (28.24 billion dollars).
In June, a large seven, uniting the UK, Germany, Italy, Canada, France, Japan and the United States, announced the signing of an agreement on the taxation of the largest world technological companies. The document has developed to regulate the activities of digital giants, such as Amazon, Facebook, Apple and Alphabet (Google’s head company). According to the new agreement, the G7 countries will establish a minimum corporate tax rate of 15 percent. Criteria for the selection of companies that will deduge to deduct funds into the budgets of states are still discussed. One of the possible conditions is profitability (the ratio of profit to revenue) of a company equal to or exceeding 10 percent. If such a selection criterion is adopted, Amazon will be able to avoid paying taxes, since the profitability of the corporation in 2020 amounted to only 6.3 percent. US Finance Minister Jenenet Yellen stated that the Parties to the Agreement would find a way to subjugate the Corporation with new tax rules.
Johnson also plans to discuss with a businessman working conditions Amazon. In May, the company stated that she was going to hire another 10 thousand people in the UK, bringing the total number of personnel in the country to 55 thousand by the end of 2021. British Prime Minister will raise the issue of working conditions, since the largest number of jobs will appear in warehouses and in the reception centers, and recently Amazon accused of incorrect contact with the staff of these departments.