SALES OF £3.3BN were racked up by Amazon.co.uk in the UK during 2011, but huge costs saw it pay just £1.8m in corporation tax during the year.
In a response to the Public Accounts Committee for more financial data relating to its UK operations, profits before income tax on UK sales equated to £74m, with various costs and expenses eating into the profit margin.
The company’s UK accounts filed for the period show it paid £1.8m, with revenues of £20m.
In its response to the committee, Amazon asked for the information to remain confidential.
The committee has again called on HMRC to appear before it, in an effort to tackle marketed avoidance schemes. It is believed that HMRC chief executive Lin Homer will face questions on the tax affairs of its IT supplier, Accenture.
The ATT had previously expressed concern that the legislation was overly complex and created unnecessary complications within the practical working of the new allowances
Introduced in 2013 to encourage R&D investment, the scheme allows UK businesses to pay only 10% corporation tax on profits derived from any UK or certain EU patents
Yet, KPMG’s annual survey shows that the UK is still an attractive place to do business, despite falling in rankings in tax competitiveness and FDI appeal
MTD cost estimates are not based on 'facts', and are 'disbelieved' by most small businesses and sole traders, says Lords committee chairman