There are two videos in PPT, where are black slides: Video1: https://www.youtube.com/watch?v=wxW8GP59Sq8 Video 2: https://www.youtube.com/watch?v=VcZF_DxQ5cU

1. The
MORALITY
tax avoidanceof

2. Why this topic?
Because it’s a widespread phenomenon, mostly among the
large companies, thereby affecting the quality of public servicies
and sometimes also the economical security of the states!

3. How it works?
TAXAVOIDANCE
The

4. Video 1

5. Not that hard! No?
Legal, but not so moral!

6. Why immoral?
Because they use all
the public services
without paying the the
price for it, as we do.
education
health system security
well trained labor force
infrastructure

7. But why should be moral
to pay taxes for this?

8. „Taxes are the price we
pay for a civilised
society”
Oliver Wendell Holmes
Famous
American
Jurist

9. If you don’t want to pay for it
Feel free to do
business here

10. The big 4
and not only them!
Who makes this possibile?

11. They hidden this practice under the name
TAX PLANNING

12. They call this
TAX PLANNING
sometimes it is
TAX AVOIDANCE
but

13. Anyway, don't get confused
Tax planning Tax avoidance
=Even if sometimes „tax planning”
can be a cover for „tax avoidance”

14. is bending the rules of the tax
system to gain a tax advantage
that Parliament never intended.
Tax avoidance
involves using tax reliefs for the
purpose for which they were
intended.
Tax planning

15. Zoom
IN

16. United
Kindom
Case Study

17. UK citizen
What this companies have in common?

18. A huge
Tax Avoidance
Practice

19. Standard
Corporation Tax
24%
UK’s
For instance

20. They really pay it?
Let’s find out!

21. Video 2

22. Revision
Year: 2011
Uk Turnover
Profit before tax
Tax paid
Tax as % of turnover

23. A look deeper
Le’s have

24. Case Study
Starbucks

25. United Kindom
First opening: 1998
Stores: 735
Sales*: ₤ 3bn
*reported (Total Sales until year 2012)
Tax paid: ₤ 8.6m
Tax as % of sales: 0.3

26. United Kindom
In the last 5 years*,
Starbucks paid in UK
₤ 0corporation tax
*from 2007 to 2012

27. They report
losses in UK, all
financial reports to
HM Revenue &
Customs being
this way
US executives of the
Seattle company
claimed in telephone
calls with investors,
transcripts of which
have been seen by the
The Guardian, that the
UK business
was profitable
while

28. The contradictions highlight legal tax-avoidance
tactics used by multinational companies by loading
UK subsidiaries with debts from other parts of the
business based in countries with lower tax thresholds

29. Admission of immoral practice?
After 5 years of not paying any corporation
tax, Starbucks finally „woke up”!
In 2013 they paid
₤10m, promising
to pay another
₤10m in 2014.

30. is this
moralim

31. You are
RIGHT
is a Culturally
Conditioned Response
Morality
So, whatever you say

32. By the way,
Do you know the last app released by Apple?

34. Bibliography Photo credits

35. Alexandru Mengheriș
Thank
you
by