International companies can pay very little taxes, or no taxes, in several countries where they do business. It’s not that they don’t make profits. They do. It’s just that by using the tax regulations cleverly, they can put all company profits in countries with low corporate taxes. They pay no corporate taxes in countries where they make most of their profits.
Some of these corporations are among the worlds largest and most profitable.
Do you think this is sustainable? How do you think this affects the competition with smaller local companies, without a choice of moving profits abroad? If you think changes should be made, who’s responsibility is it? What should they do?
(Photo by Floriane Vita at Unsplash)