Get ready to put on your angry hat and start ranting about a company that you'll never stop doing business with, because it's been revealed that Amazon UK's 2016 tax bill was a mere £7.4 million. That's 50% lower than the £15.8 million it paid the previous year.
If that didn't annoy you enough, Amazon UK Services, which handles warehouses and logistics, also recorded a turnover of £1.46 billion, up from the £946 million it earned in 2015. It also received a £1.3 million tax credit from the government, which can be deducted from future tax bills.
Despite this the company's pre-tax profits appear to have fallen from £48.5 million to £24.2 million before tax.
Currently we don't have any figures for Amazon UK's sales, but in 2015 the company managed to generate £7 billion in sales revenue. While the company is refusing to release UK-specific information on its own, Amazon claims that this information will be available when it publishes the figures from its Luxembourg-based businesses.
An Amazon spokesperson also said:
"We pay all taxes required in the UK and every country where we operate. Corporation tax is based on profits, not revenues, and our profits have remained low given retail is a highly-competitive, low margin business and our continued heavy investment.
We’ve invested over £6.4 billion in the UK since 2010 including opening a new head office in London and development centres in Cambridge and London this year and creating 5,000 permanent jobs across the country."