Starbucks pays corporation tax

While G8 ministers wrestle with ways of closing the accounting loopholes that allow big companies to be very creative with their accounting, to pay tax at the lowest rates possible legally, Starbucks has opted to pay £10 million corporation tax this year and the same amount next.

Despite turning over £400 million last year, Starbucks insists it has never made a profit in the UK in fourteen years, but is listening to its customers and is willing to pay to clean up the image of a company doing vast amounts of business in the UK while contributing little to the public purse.

The Government has stated frequently that corporation tax is not optional and has banded together with other members of the G8 countries to fight the clever accounting schemes that make it look that way.