It's a story that continues to repeat itself, and it is not an isolated incident. Once again a large corporation conducting business in the UK is flaunting the tax laws.

Facebook public accounts for 2012 show that it paid £0.00 corporation tax, despite turnover of over £34 million in the UK.

Although Facebook revenue is generated via the website in the UK, the company is peddling its finances through Ireland, where tax rules are different and rates are lower.

The net result is Facebook can make adjustments suffice to show a loss. Corporation tax is based on any profit!

In 2011 Facebook had a UK tax bill of just £238,000. Revenue increased by 70% to 2012 yet the tax bill was nil.

Facebook churned out the usual statement saying it meets all its obligations

Facebook pays all taxes required by UK law and we comply with tax laws in all countries where we operate and have employees and offices. We take our tax obligations seriously, and work closely with national tax authorities around the world to ensure compliance with local law.

Margaret Hodge, Commons Public Accounts Committee chairman said this was

yet another example of what appears to be deliberate manipulation of accounts of economic activity to deprive the British taxpayer of a rightful tax contribution, according to the profits they make in the UK

Google, Apple and Amazon are just a few more of the global companies engaged in these controversial practices. Google did pay a tiny £11m UK tax last year based on £506m revenue. Apple paid no UK corporation tax in 2012 despite £1bn worth of UK sales. Amazon also had zero tax.

The French government is currently pursuing a change in European regulations in an attempt to curtail such tax manipulation schemes.

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