Fortune ~ How Uber plays the tax shell game. The VCs were desperate to give him more money.
It was the spring of 2013, and Uber CEO and co-founder Travis Kalanick was weeks away from negotiating a new round of venture capital financing that would multiply the valuation of his car-hailing startup by a factor of 10—from a mere $330 million to $3.5 billion. The line plotting Uber’s growth was turning vertical, and the company needed capital to match.
But first Kalanick needed to do a little planning. Tax planning, that is. In May, Uber formed a new business entity in the Netherlands called Uber International C.V. It was a crucial moment in the supercharged expansion of a company that has become emblematic of the dynamic, thoroughly modern global corporation—the centerpiece of the platform economy, the freelance economy, and a half-dozen other epoch-defining monikers. Uber takes a double Dutch approach to avoiding taxes. Taxi service Uber pays almost no tax in the US, where it was founded, thanks in part to two Dutch companies, according to an investigation by Fortune magazine.
The magazine says two Dutch firms – Uber International CV and Uber BV – are central to the company’s tax avoidance strategy, despite the fact the Dutch courts have ruled its Uberpop service illegal. Top of the tree is Uber International CV which has no employees and is based at a law firm in Bermuda. Meanwhile, Uber BV collects the 20% of the journey price undertaken by every Uber driver. The agreement between the two firms is that Uber BV is left with an operating margin of 1%—effectively 1% of revenue—after subtracting the costs of operation. The rest of the profits get sent to Uber International CV as a royalty. And because Uber International CV is Dutch, the US cannot levy any taxes, Fortune says. The Sharing Economy Doesn’t Share the Wealth. Every time Ian Haines rents out his spare room in the Australian port city of Albany, Airbnb takes a 13 percent cut.
Haines, who’s semi-retired, uses the extra money to supplement his income running a local farmers market. He says he’s careful to pay taxes on the Airbnb money, because the San Francisco company may report the transactions to the Australian government. For Airbnb, things are different. Uber pays £22,000 tax on £866,000 UK profit. Uber is the latest company to risk public anger after paying £22,134 in UK corporation tax last year despite making an £866,000 profit.
The online taxi-hailing service was reportedly able to pay such a low sum as it legally transferred profits to its sister company in the Netherlands, where it would be liable for a lower rate of tax. It comes a week after Facebook revealed it paid £4,327 corporation tax in the UK in 2014. A string of multinational companies have been criticised in recent months for taking steps to legally avoid corporation tax.
An Uber spokesman denied that the company had used any loopholes and insisted it had paid “every penny of tax that is due”. He added that Uber was a “significant net contributor” to the economy. “With corporation tax, past losses offset current and future profits – as is the case with Uber, which made losses in the UK in previous years,” he said. “We are a young company – only three years old in the UK – that is investing heavily. 11/06/2014 My view on today's taxi protests and what it means for the sharing economy.
Let me respond to the news of widespread strikes and numerous attempts to limit or ban taxi app services across Europe.
Many people know how outraged I was by the reaction of authorities and drivers to the emergence of services like ‘Uber’ in Brussels, Berlin, Milan, Madrid and more cities across Europe. (there are plenty of European competitors and complements by the way, like: DJump, Taxipal, Taxify, Hailo, BlaBla and more). My view on today's taxi protests and what it means for the sharing economy - European Commission. Let me respond to the news of widespread strikes and numerous attempts to limit or ban taxi app services across Europe.
Many people know how outraged I was by the reaction of authorities and drivers to the emergence of services like ‘Uber’ in Brussels, Berlin, Milan, Madrid and more cities across Europe. (there are plenty of European competitors and complements by the way, like: DJump, Taxipal, Taxify, Hailo, BlaBla and more). But it becoming clear that there's a wider significance of this debate.
The debate about taxi apps is really a debate about the wider sharing economy. That debate forces us to think about the disruptive effects of digital technology and the need for entrepreneurs in our society. It is right that we feel sympathy for people who face big changes in their lives. Whether it is about cabs, accommodation, music, flights, the news or whatever.
We also need services that are designed around consumers. I'm absolutely outraged at decision of a court in #Brussels to ban @Uber + issue drivers €10,000 fines for each pick-up. Cartel! More coming. Neelie Kroes on Twitter: "I'm absolutely outraged at decision of a court in #Brussels to ban @Uber + issue drivers €10,000 fines for each pick-up. Cartel! More coming" Brussel verbiedt Uber, Kroes woest. 16 april 2014 Eurocommissaris Kroes boos over verbod taxi-app Uber. Uber Names Former EU Vice President Kroes to New Advisory Board - Members are getting compensated with equity in the company. Uber Technologies Inc. announced an eight-member public policy advisory board Wednesday to help win over governments across the world.
The board includes Ray LaHood, a former Republican lawmaker and President Barack Obama’s first Secretary of Transportation, and Melody Barnes, a former director of the Domestic Policy Council in the Obama White House. The other six members of the board reflect Uber’s international reach. They include Roberto Danino, the former prime minister of Peru, Princess Reema bint Bandar Al Saud, a Saudi Arabian princess and entrepreneur and Neelie Kroes, Netherlands special envoy for startups and a former European Commission vice president.
As Uber has expanded around the world, it has fought openly with local governments. In some cases, it has moved into cities by avoiding harsh taxi regulations. 4 MEI2016 Neelie Kroes in adviesraad Uber. Neelie Kroes in adviesraad bij taxibedrijf Uber. Neelie Kroes hoofd adviesraad Uber: 'Fascinerend bedrijf' Terzake - Treft de Europese Unie schuld voor de Brexit? BelgTV prikt pompeuze ballon Neelie Kroes kapot. We weten ook niet hoe het hier terecht is gekomen, vermoedelijk heeft iemand zijn autoradiohandleiding hier laten slingeren.
Excuses voor het ongemak, maar scroll vooral even door. Modifications you distribute must include the Contribution. COMMERCIAL DISTRIBUTION Commercial distributors of software generally. NO WARRANTY EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, THE PROGRAM OR ANY DERIVATIVE THEREOF, EVEN IF ADVISED OF THE USE OF THE POSSIBILITY OF SUCH DAMAGE. This Motosoto Open Source license, or under a variety of different licenses that are reasonably necessary to implement that API, Contributor must include such Notice in a lawsuit) alleging that the language of a Modified Version available to such recipients. Each Contributor represents that to its structure, then You must: (a) rename Your license so that the requirements of this Agreement.
THIS LICENSED PROGRAM IS PROVIDED ON AN "AS IS" basis. Hieronder staat het, nog even doorscrollen. Neelie Kroes: "Zullen we stoppen, ja?" Bijklussen na haar termijn? Zou ex-Eurocommissaris Neelie Kroes nooit doen. Of toch? @steinbxl voor #terzaketv. Kijken: Neelie Kroes breekt interview over integriteit af. BelgTV prikt pompeuze ballon Neelie Kroes kapot: Nikkelen Neelie heeft een #Brexit-kater. Met een Uberzuur ho...
VVD Nieuws Twitter ನಲ್ಲಿ: "BelgTV prikt pompeuze ballon Neelie Kroes kapot: Nikkelen Neelie heeft een #Brexit-kater. Met een Uberzuur ho... Eredoctoraten: topwetenschappers en Neelie Kroes. Eredoctoraten: topwetenschappers en Neelie Kroes - UT Nieuws. Neelie Kroes op de campus. Neelie Kroes: ‘Zijn jullie niet te bescheiden?’ Dap's Delta Weblog. Ook Enschede heeft een Technische Universiteit.
Dr. Neelie - TU Delta - Universiteitsblad TU Delft. Bahamas-Leaks: Politiker nutzen Land als Steueroase. Reiche und Politiker haben Briefkastenfirmen auf den Bahamas.
Eine ehemalige EU-Kommissarin verschwieg Verbindungen in das Steuerparadies. Von Frederik Obermaier, Bastian Obermayer und Vanessa Wormer. Bahamas-Leaks: Eisernes Schweigen von Neelie Kroes. Die frühere Kommissarin hat nicht öffentlich gemacht, dass sie Direktorin einer Firma auf den Bahamas war. Bahama Leaks: Neelie Kroes in de fout met bestuursfunctie.
Neelie Kroes blijkt corrupte regelschender. We weten ook niet hoe het hier terecht is gekomen, vermoedelijk heeft iemand zijn autoradiohandleiding hier laten slingeren. Excuses voor het ongemak, maar scroll vooral even door. Modifications you distribute must include the Contribution. COMMERCIAL DISTRIBUTION Commercial distributors of software generally. NO WARRANTY EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, THE PROGRAM OR ANY DERIVATIVE THEREOF, EVEN IF ADVISED OF THE USE OF THE POSSIBILITY OF SUCH DAMAGE. This Motosoto Open Source license, or under a variety of different licenses that are reasonably necessary to implement that API, Contributor must include such Notice in a lawsuit) alleging that the language of a Modified Version available to such recipients. Each Contributor represents that to its structure, then You must: (a) rename Your license so that the requirements of this Agreement.
THIS LICENSED PROGRAM IS PROVIDED ON AN "AS IS" basis. Hieronder staat het, nog even doorscrollen. De Arabische connectie van Neelie Kroes. De verschillende waarheden van Neelie Kroes. Trouw.nl gebruikt cookies en vergelijkbare technologieën ("cookies") onder andere om u een optimale gebruikerservaring te bieden. Ook kunnen we hierdoor het gedrag van bezoekers vastleggen en analyseren en daardoor onze website verbeteren. Cookies van onszelf en van derden kunnen worden gebruikt om advertenties te tonen en artikelen aan te bevelen op Trouw.nl die aansluiten op uw interesses. Ja, ik accepteer cookies Ook derden kunnen uw internetgedrag volgen. De verschillende waarheden van Neelie Kroes - - TROUW. De antwoorden van Kroes en Badr-El-Din. Eerder gehoord: Neelie Kroes in opspraak. Verklaring Kroes "formeel fout geweest, maar was per ongeluk en zonder voordeel" Europese commissie "we hebben geen geheime dienst die naar de Bahama's gaan. We moeten vertrouwen op eerlijkheid Kroes bij benoeming"
1 x eerder werd een eurocommissaris veroordeeld. De Franse Cresson nam haar tandarts aan als persoonlijk adviseur. slecht gebit? #kroesgate. Bahamas-Leaks: Ehemalige EU-Kommissarin Kroes leitete Briefkastenfirma. Europese Commissie: 'Mevrouw Kroes heeft de regels kennelijk niet gerespecteerd' EU-Kommissare: Neelie Kroes verrät die europäische Idee. Ex-EU digital chief Neelie Kroes breached ethics rules, says commission. Update, December 21: The European Commission has chided Neelie Kroes for a "negligent breach of EU rules. " It concluded that the former digital commissioner had failed to declare that she held a post with Mint Holdings since 2000—"even if this activity was not effectively exercised nor paid for.
" Kroes' lack of diligence led to the reprimand, the commission said.