Advertisements

How Big Companies Avoid Taxes

Comments Off on How Big Companies Avoid Taxes

Advertisements

6 UK Water Firms Pay No Tax

Comments Off on 6 UK Water Firms Pay No Tax

What a sweet deal for some UK water firms whereby they pay no tax following in the footsteps of many other corporations like Starbucks. Over the past decade, water bills have soared by 82%, more than double the rate of inflation. Despite making over £1.5 billion in profits, water bills are set to rise again this year.

British water companies are evading millions of pounds in tax by the fraudulent method of getting loans from their owners abroad and listing themselves as under debt.

Following a public outcry over billions of pounds of corporate tax avoidance in Britain, involving names such as Google and Starbucks, research group Corporate Watch said that six British water companies have taken out high-interest loans from their owners through the Channel Islands stock exchange so that they could dodge tax using a legal loophole that reduces taxable profits in proportion to interest payments abroad.

That means their owners get fully untaxed profits from Britain by pretending that their subsidiaries in the country are under debt.

According to Corporate Watch, the six water companies of Northumbria, Yorkshire, Anglia, Thames, South Staffs and Sutton and East Surrey have got £3.4 billion in loans from overseas.

The group said the Northumbrian case is the “most brazen” as it has promised an 11 percent interest on a loan of over £1 billion from a Hong Kong-based group that belongs to Li Ka-shing, the world’s ninth-richest person.

The situation also directly affects British tax-payers who should foot the bill for the high-interest loans taken out by water companies.

Corporate Watch said water companies could secure loans with much lower interests if they were government-run adding the current situation is costing British consumers an additional £2 billion a year.

Source: PressTV

Companies Require Over $43 Trillion Over Next 4 Years

1 Comment

With the banking and sovereign debt crisis in Europe growing ever worse by the day, the Telegraph has come up with another scary story to help put things in perspective. While the focus has been on sovereign and banks, companies need to rollover debt has largely gone below the radar but there is a requirment over the next 4 years for over $43 trillion.

Just as you thought things couldn’t get any worse, credit markets are about to be hit by a veritable tsunami of maturing corporate debt. Standard & Poor’s estimates that companies in Europe, the US and the major Asian economies require a combination of refinancing and new money to fund growth over the next four years of between $43 trillion and $46 trillion. The wall of maturing debt is unprecedented, raising the prospect of further, extreme difficulties in credit markets.

With the eurozone debt crisis still at full throttle, the Chinese economy slowing fast and a still tepid US recovery, it’s not clear that the banking system is in any position to deal with this incoming wave of demand.

 

………..

In its analysis of the refinancing challenge, S&P concedes that it might just about be possible for the banking system to cope with the wave of corporate debt maturities, assuming no further deepening of the eurozone crisis. But providing the $13 trillon to $16 trillion of new money to spur growth is going to be a much bigger ask, especially in Europe.

Source: The Telegraph

US War Profits

Comments Off on US War Profits

War is extremly profitable to US companies. In this video is an explaination of the system of how companies influence politicians through think tanks such as the “Council on Foreign Relations” etc.

Remember, facisim is when corporations and the state merges.

%d bloggers like this: