* Palantir started in the US as a start up and burned a lot of money building the systems they are running today and that are finally profitable
* Those systems are used from the UK subsidiary but if a different consultancy would use them, they would be billed accordingly. That's transfer pricing
Not sure how trustworthy it is, but assuming what https://palantir-uk-tax-evasion.pagey.site/ writes is true, then:
> a profit-allocation structure that lets most UK revenue/profit be recorded with the US parent instead of the UK subsidiary [...] Both only work because of a third factor: the US isn't taxing it either, so shifting profit "back" to the US isn't costly.
Seems a bit weird, they're not getting properly taxed anywhere in the world apparently. If they were properly taxed in the UK OR the US, things would have been different. But as noted, nothing here is illegal seemingly, just not good for anyone except Palantir.
funny way to spell 'steals from the public purse'
I pay on the revenue. I also buy things. I also consume. And somehow I can manage with taxes on the revenue.
This would also solve the problem of companies that get 10 M€ in revenue, but somehow only 10€ is taxed because expenditure, capex etc
> Revenue is total money from core business activities before expenses are deducted.
> Income, or net income, is earnings remaining after all expenses are deducted from revenue.
Sorry for being pedantic. I don't understand why English has such ambiguous terms for something that shouldn't be. Or am I even more confused now?
To directly answer your comment: I agree that companies should be taxed on revenue and not income. Citizens are taxed on revenue, so why aren't companies?! They're supposed to be treated as people.
[1]: https://www.investopedia.com/ask/answers/122214/what-differe...
There should be only property tax and income tax, and the person paying the tax should be able to choose how to spend that money. Maybe you don't care and will let your congressmen to handle it, but maybe you would change your money to go to NASA or and then the government won't be able to spend so much on a pointless war or on building a stadium.
It discourages investments in your country.
It’s all fixable with a modicum of effort but combined with the slop styling I’m not sure what you’re trying to achieve other than just pushing slop online.
It's not an easy problem.
I also run on narrow margins, and nobody cares.
It would kill the economy overnight.
freakynit•1h ago
helsinkiandrew•48m ago
> contracts with customers were signed with Palantir’s US companies, which in turn paid a service fee to local country subsidiaries to deliver the work.
Similar trick are used by many companies, for example Starbucks UK conveniently paid £40m in "royalty and license fees" to the parent company resulting in a £35m loss in the UK.
https://www.theguardian.com/business/2025/apr/15/starbuckss-...
Nursie•26m ago
It's never posted a profit despite about a billion in annual revenue, and so never paid a penny of corp tax.
Personally I think the tax authorities ought to take the line that a company posting losses like this is clearly not a viable, ongoing concern and ought to be wound up.
If Starbucks UK is a loss-making venture, they should have some explaining to do when they're opening new branches.
bko•7m ago
Tax authorities don't need to do this. Investors will. Where will the money come from? If there's no future prospects, it will cease operations.
> If Starbucks UK is a loss-making venture, they should have some explaining to do when they're opening new branches.
I like how discussion of taxes turned everyone into a fierce defender of profit maximization. Nothing about adding back to the community, paying decent wages, etc.
Nursie•4m ago
That's the point, there are plenty of future prospects, but the company is playing accounting games to hide the profits.
> I like how discussion of taxes turned everyone into a fierce defender of profit maximization.
No, we're just calling bullshit on the whole thing because we're tired of wealthy multinationals dodging taxes in our countries. That's how they should be contributing.
bko•26m ago
If you begin selling in a different tax jurisdiction, that would be unfair that you have to start paying corporate taxes despite being unprofitable. It's not a brand new company and you're using the resources you built in the other country so royalty and licensing fee make sense. In other words, Starbucks brand name and operational efficiencies are assets that were developed in the US, so the US subsidiary should receive revenue from the service to the UK branch
Nursie•22m ago
Pull the other one mate, it's got bells on.
bko•11m ago
Yes, any company can pay 0 taxes by taking all the money that they made and setting it on fire, in perpetuity.
Nursie•9m ago
sevenzero•21m ago
LOL. You losing money with your business is no excuse to not pay taxes on profits you make after losing money. Just because you lost money doesn't mean you dont make profits until you earned back that money. Taxes should be paid every time you make money in the country your business operates in. Simple as that. Everybody benefits off of tax money.
throwaw12•12m ago
If you threaten to leave the UK, sure go ahead, your market will be filled quickly. Same for Palantir.
Havoc•5m ago
iamacyborg•40m ago
smashah•30m ago
iamacyborg•26m ago
drdec•16m ago
iamacyborg•12m ago
freakynit•26m ago
Others, for example using the same renderer:
1. NPM Supply Chain Attack Techniques: https://npm-supply-chain-attack-techniques.pagey.site/
2. NPM Ecosystem Threat Report: https://npm-supply-chain-attacks-25-26.pagey.site/
AI generated "slop" is here, and it's here to stay. In case you do find some error in content, point that out please.