How Starbucks Escapes Tax Legally
Автор: Ayush Shukla
Загружено: 2025-08-05
Просмотров: 419339
Описание: From 2011 to 2014, Starbucks made billions in sales across Europe. But in countries like the UK, it showed almost no profit on paper so it paid almost no tax. How? Instead of buying coffee beans directly from farms, Starbucks UK bought them from its own subsidiary based in Switzerland, at inflated prices. On top of that, it paid another Starbucks-owned company in the Netherlands royalty fees just to use the Starbucks name and methods. These high internal expenses made it look like Starbucks UK was barely breaking even. But in reality, the money was simply moving between Starbucks' own companies so it remained legal. In just three years, Starbucks made £3 billion in sales but paid only £8.6 million in taxes. There was public outrage, but no legal violation. Starbucks didn’t cheat the system it understood it better than anyone.
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