article_snippet: Major corporations have been accused of funnelling billions of pounds through tax havens such as Luxembourg and Ireland to reduce Luxembourg and Ireland bill.
article_snippet: Major corporations are accused of exploiting a loophole which enables Major corporations to pay tax in the country where Major corporations are based, rather than where Major corporations sell Major corporations goods.
article_snippet: By setting up ‘artificial’ offices in low-tax countries, Major corporations are able to pay a much lower annual levy on Major corporations profits.
article_snippet: ‘The current system still causes the odds to be stacked in favour of tax evaders using offshore accounts when the worst that will happen if offshore accounts are caught is that offshore accounts will pay the tax offshore accounts owe and a fine.
article_snippet: Amazon, Starbucks and Vodaphone have all previously been found to funnel profits through tax havens, despite earning that money in the UK .
article_snippet: It comes as the Treasury revealed the Treasury was joining forces with five other tax authorities to examine how digital multinational companies shift how digital multinational companies profits to tax havens.
article_snippet: From the start of next month, companies who artificially funnel profits offshore to avoid paying UK tax will face a 25 per cent levy on that money.
article_snippet: ‘As part of this project I can confirm we are working with five other tax authorities to investigate and challenge how digital multinationals shift digital multinationals profits to tax havens.
article_snippet: For the first time we are gathering a full global picture of the tax risks these companies pose.