Google will pay £ 130 million in back taxes in UK – Financieele Dagblad

Google has promised that the £ 130 million (€ 172 million) in taxes going to pay in the UK over the period since 2005.

The Internet giant, now part of the group Alphabet, received criticism in recent years because it would pay too little tax in the UK. Google uses a tax structure in which profits from European subsidiaries through Ireland are channeled to Bermuda, where no tax is levied. In 2013 the company made more than £ 20 million for the British tax authorities, while sales in the country amounted to approximately £ 3.8 billion.

It meant that the British tax authorities six years ago began an investigation in which the tax returns of Google since 2005 were examined. According to Google comes to the payment of the £ 130 million a stop to that investigation. The company would also have made agreements with the tax authorities about the way in future tax returns.

Several British parliamentarians have been critical on the deal. So called Labour politician John McDonnell, the £ 130 million a “relatively trivial” amount that the appearance that Google easily comes off from the examination of the tax authorities. He urged the British tax authorities to publish full details of the deal.