Small businesses in the UK will welcome the recent decision that Apple needs to pay $13 billion in tax, FreeAgent’s CEO and co-founder, Ed Molyneux, believes.
According to Molyneux, it is because small business owners believe big businesses usually get a better deal. “The European Commission’s decision will be welcome news for freelancers and micro-businesses - many of whom feel that they are getting a raw deal when it comes to paying tax,” he said.
“We recently carried out research that found seven in ten (71 per cent) UK micro-business owners in the UK felt that larger businesses benefited more from the tax system than they did. Projected across the UK’s 5.2 million-strong micro-businesses sector, which accounts for 95 per cent of all businesses, that equates to millions of self-employed people who view the tax system with a sense of injustice.”
“We know that corporation tax is often a stumbling block for micro-business owners to deal with, especially when they change from being a sole trader to a limited company. It can be a very confusing tax to understand and many of them have to work very hard to calculate the correct amount to pay - with the shadow of the tax man looming if they get things wrong.”
“I’m sure many micro-business owners will therefore be happy to see a major multinational company being made to pay their fair share.”
The European Commission has decided that the American tech giant Apple must pay The Republic of Ireland €13 billion (£11bn) in tax. Apple, on the other hand, said the claim has ‘no basis in fact or in law’.
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