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Google Defends Itself against Tax Cheating Claims

November 29, 2012 by rochelle in Business with 0 Comments

Tech giant Google has issued a statement defending itself against claims that it is circumventing tax laws to pay lower taxes in foreign countries.

Matt Brittin, Google Britain head, said politicians are free to legislate if they want to change tax laws. He, however, denied that multinationals are being immoral with how they pay their taxes.

Brittin said that he does not mind being grilled by MPs, adding that it is wrong to think that multinational companies are out to cheat. He said he feels frustrated with the criticisms because he knows he is not immoral and that Google is also not an immoral company.

Brittin appeared two weeks ago before MPs of the United Kingdom’s Public Accounts Committee. E-Commerce sites have been under fire the last few weeks because of allegations that they are circumventing the laws to pay lower taxes in other countries.

Brittin said that he would not work for an immoral company. He said he is proud of how Google operates.

Google earned some £2.5 billion in the United Kingdom in 2011. The tech giant, however, only paid about £6 million or some $9 billion.

During the committee appearance, PAC chairman Margaret Hodge said they are not accusing Brittin of being illegal. Instead, they are accusing him of being immoral.

Brittin counter-attacked and said MPs are to blame for whatever the companies are doing because this is the system that they created. He insisted that Google follows the rules set in place.

Brittin also said that if Google were invented in the UK, they would be having a different conversation.

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