In 2021, Amazon is said to have paid no income tax on $55 billion in European sales.

According to records, the corporation also received €1 billion in tax credits.

Despite the fact that Amazon’s primary European division witnessed a $55 billion surge in revenues last year, the corporation avoided paying income tax. It made a loss of €1.16 billion ($1.26 billion) while also receiving €1 billion in tax benefits. The credit was “primarily attributable to the use of net losses carried forward in conformity with the tax consolidation scheme,” according to records seen by Bloomberg.

The UK, Germany, France, Italy, Spain, Poland, Sweden, and the Netherlands are all part of the Amazon EU Sarl business, which is situated in Luxembourg. In 2021, its revenues climbed by 17%.

“We pay hundreds of millions of euros in corporate tax across Europe,” an Amazon spokeswoman told Bloomberg. According to them, each country’s revenue, profit, and tax are reported to local authorities. After opening more than 50 additional locations throughout the continent last year, the company reported a deficit.

For years, Amazon has been chastised for the tax incentives it receives and the way it discloses its earnings. Amazon was hit with a €250 million ($280 million) tax penalty by the European Union in 2017 for alleged illicit state assistance operations stretching back to the early 2000s. Last year, Amazon won its appeal against the bill. The European Commission has filed an appeal with the European Court of Justice against that ruling.

(Visited 1 times, 1 visits today)