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Facebook branded "immoral" after paying £238,000 UK tax

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Facebook has been branded "immoral" over the amount of UK tax it paid last year.

An analysis of the social network's annual accounts, which were published today at Companies House, revealed that it paid just £238,000 tax last year, the Evening Standard reports.

Facebook Timeline
Facebook CEO Mark Zuckerberg talks about Timeline during the f/8 conference

© PA Images















Facebook's UK arm reported a turnover of £20.4 million last year, but independent research firm Enders Analysis estimated that the actual figure was closer to £175 million.

The company is said to divert most of its sales through Ireland, which has a lower corporation tax than the UK.

Labour MP John Mann, who sits on the Treasury Committee, called the revelations "disingenuous and immoral".

He said that Facebook and other web-based companies "benefit enormously from the country's internet infrastructure but do nothing to fund it".

Facebook promoted user posts

© Facebook



Facebook isn't the only tech company to face such claims. Amazon faced an investigation by UK tax authorities earlier this year over claims it had paid no corporation tax for three years.

Google also came under the spotlight after it emerged that the search giant had paid just £6 million to the Treasury last year, despite making UK profits of £395 million.

Facebook declined to comment on its UK turnover, saying: "As is normal for an organisation operating in dozens of countries we file reports about local operations.

"The information does not necessarily present a full account of overall global financial performance so it would be a mistake to draw any conclusions from these filings."

It was recently revealed that Facebook has developed a new 'want' button as part of its push towards a bigger role in e-commerce.

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