“Tax evasion is the process of using legal means to reduce the amount of tax due based on the provisions listed in the tax law”. Say no to plagiarism. Get a Custom Essay on 'Why Violent Video Games Should Not Be Banned'?Get Original EssayStarbucks argued with investors that the company had been profitable, even though the company had reported losses, ago Just a few years ago, Starbucks reported sales of around £1.2 billion in the UK and these reports showed no profits or income taxes. Starbucks released a statement explaining how profitable the business was in the UK and they were happy with how everything was going. Starbucks' profits and revenues rose about 11%, even as Starbucks faced a day of action from anti-cut protesters who had threatened the Starbucks brand and also the company's reputation for of corporate social responsibility. This was a disadvantage simply because it states that companies involved in tax avoidance would risk their reputation, and in this case, Starbucks had risked its own reputation in the face of anti-cut protesters. said Starbucks' CFO and company officials. “They want to be good taxpayers and pay their share of taxes; they do not code taxes; they are obliged to comply: “Starbucks thought it would be a good idea to shift operating profits from the UK to other tax jurisdictions, which was to their advantage; In 2012, Starbucks had a turnover of around £400 million in the UK alone and paid no corporation tax. Financial transactions were made with the Dutch company in the form of royalty payments and it made payments at high interest rates only to lend from other parts of the company. The company that Starbucks deals with is based in Switzerland and has sold coffee to Starbucks stores in the UK, which will then be roasted by the company in the Netherlands, they have reduced Starbucks' tax bill, she says that Starbucks had increased its costs and also reduced its reported revenue in the UK, coffee was being purchased at a higher price from another Starbucks entity. Their Various Companies That Avoid Paying Taxes Another one of these big companies is Amazon. Amazon is under fire for tax evasion. In 2016, Amazon only managed to pay £15 million in tax on a European turnover of £19. 5 billion. Amazon was not taxed on three quarters of its profits due to the illegal benefits they received from Luxembourg, he then adds that companies that avoid tax will help defeat their competitors, allowing them to ensure control the market more easily. market, which will be advantageous to them. When you look at these companies, you can see how they avoid tax. Most of them use legal loopholes, then they transfer money abroad to other entities so that they can pay less taxes and finally, they will base their business in different countries where they can pay taxes. low taxes because they are multinationals, the tax will be deducted by establishing a subsidiary in a country favorable to tax policies. These companies create prices and do not even refer to the market price. Essentially, they move prices up and down for their own purpose and benefit. Many large cooperative societies avoid paying taxes by.