Tuesday, January 22, 2013

Business Taxation and social media research

criticized by Labour MP

Google, Twitter and Facebook are facing renewed scrutiny of its tax provisions in the United Kingdom after the Labour Party has criticized the lack of corporate social responsibility and has asked for help against cyberbullying bottom measures.

debate in Westminster Hall on Wednesday, Labour MP Helen Goodman said social media companies constitute an additional burden on public finances in the UK by the workload of teachers, social workers and police faced threats and harassment carried out in social networks.

"These companies are a costly burden on the public purse again, but do not act as responsible corporate citizens," said Goodman debate.

"The government can not go back and ignore it. Ministers must ensure that [the authorities] tax use all the weapons at their disposal and, if necessary, further legislative action to end these avoidance devices. "

Goodman reiterated his concern about what he called artificial devices intended to support profit, referring to British royalty paid to its parent company Google to use its search technology and advertising.

cited Facebook's advertising sales in the UK of ? 175 million in 2011 and accounts show that ? 238,000 of taxes paid, while Twitter has not filed accounts in the United Kingdom. Google paid ? 6.09m tax in the United Kingdom in 2011 revenues of ? 395m.

"strategy [Google] is to minimize taxes and compensate with some corporate social responsibility -.?, But in the grand scheme of things, it's titchy Will we accept that" Goodman asked.

"We can not continue as we are, the industry may decide it is in their interest to change their behavior, or the government can put in place a coherent strategy that works in all departments . "

Google and Starbucks were summoned to a hearing common public accounts committee on Monday, with the IRS and Customs, where MPS toast both sides of corporate contributions to the company. Google told the Guardian he would not attend as a guest of the manager was not available in the short term. "We are making a substantial contribution to the UK economy through the local payroll and corporate taxes. Therefore employ more than 2,000 people, helping hundreds of thousands of online businesses grow and invest millions to support technology startups in East London. We comply with all tax rules in the UK, "said Google.

William Dutton, Professor of Internet Studies at the Oxford Internet Institute, said that it was a kind of moral panic on social networks similar to the rise of television in the 1950s .

"This concern focuses on people who do not use social media," said Dutton.


"Protecting children has nothing to do with taxation Facebook. Children should not be used as a lever for control legislation online content or prosecutors."

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