United Kingdom Objecting to Democrats
Eric Schmidt has claimed that Google's use of artificial distinctions to avoid paying billions of pounds in
Corporation tax owed by its UK operations is "capitalism" and that he was "very proud of it".
On 16 May 2013 Margaret Hodge MP, the chair of the United Kingdom Public Accounts Committee
accused Google of being "calculated and unethical" over its use of artificial distinctions to avoid paying
billions of pounds in Corporation tax owed by its UK operations. Google was accused by the committee,
which represents the interests of all UK taxpayers, of being "evil" for not paying its "fair amount of tax".
In 2015, the UK Government introduced a new law intended to penalise Google and other large
multinational corporations' artificial tax avoidance. Google is accused of avoiding paying tens of billions
of dollars of tax through a convoluted scheme of inter-company licensing agreements and transfers to tax
havens. Schmidt was also criticised for his inaccurate use of the term 'capitalism' to describe billions of
dollars being transferred into tax havens where no economic activity was actually taking place.
Notice that Eric Schmidt could not get away with this kind of logic if he were a Republican.