By John Glenday

A spotlight has been thrust on Amazon’s aggressive tax avoidance strategies once more after the internet retailer reported paying just £11.9m in tax to the exchequer despite UK sales rising by more than 14 per cent to hit £5.3bn.

The discrepancy arises by way of Amazon’s insistence on routing its UK business through a subsidiary in Luxembourg, allowing the business to claim that British sales are fulfilled there rather than Britain and enabling it to evade UK tax.

Amazon.co.uk meanwhile is described as merely providing ‘fulfillment and corporate support services’ to the Luxembourg business with a turnover of just £679m.

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Source: The Drum