Which companies will profit from Black Friday?
Amazon will be cashing in on the sales (see above for more information about Amazon). Here we examine the ethics of other tax-avoiding companies that are partaking in the sales this year.
Apple scores our worst rating for Tax Conduct, with subsidiaries in the following tax havens: Hong Kong, Ireland, Jersey, Netherlands, Nevada (US), Singapore, Switzerland and Taiwan.
Its highest paid director received £82m in compensation in 2021, meaning it lost a whole mark under our ratings system for Excessive Director’s Pay.
Read more about Apple.
Yet another worst rating for Tax Conduct was received by Boohoo, owner of brands including boohoo, boohooMAN, PrettyLittleThing, Nasty Gal, MissPap, Karen Millen and Coast. It’s incorporated in tax haven Jersey despite most of its operations being on the UK mainland and its main offices being in Manchester.
Boohoo claims it has no tax advantage from these arrangements telling us “Boohoo Group plc and all its UK subsidiaries are registered for UK tax and pay UK taxes on all profits. There is no tax benefit to the group or any individual company from being registered in Jersey.”
However, the company did not give a clear explanation of why its ultimate parent company was based in Jersey.
Four of Boohoo’s directors were paid over £1m for the year ended February 2021.
Read more about Boohoo.
eBay fares better on our rankings than Amazon, receiving an Ethiscore of 5.5.
However it too receives a worst Ethical Consumer rating for the likely use of tax avoidance strategies, as it has several holding companies in jurisdictions considered to be tax havens by Ethical Consumer.
In 2020 seven of eBay’s executives received over £1m in compensation - one lucky executive received a total of £30,871,000.
Read more about eBay and see how it compares in our guide to online retailers.
Sony Corporation scored a worst Tax Conduct rating due to having high risk holding companies in the well-known tax havens of Bermuda, Hong Kong, The Netherlands, Nevada (US) and Switzerland.
Read more about Sony Corporation.