3% may not sound much but this is on revenue, not profit.

  • thebestaquaman@lemmy.world
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    1 day ago

    Exactly this. The whole premise of the tax system is based around the historically correct idea that you need to physically move goods in order to sell them, or physically be somewhere to sell services.

    Companies like google are making buckets of money all over the world, and don’t need to tax a dime most places, because they have no physical presence there. This makes it pretty much impossible to compete with the international behemoths, because they have access to a munch of tax-free revenue, while a startup will typically be centred around wherever they’re based, where they also need to pay taxes.