MPs Challenge Google Over UK Tax Reporting

Whistleblowers told Margaret Hodge, the chair of the Public Accounts Committee that Google had sold advertising within the UK and invoiced customers in the UK

Earlier Google had announced that UK customers were giving money for the Irish Google.

“No one in the UK can execute transactions,” said Google’s head of sales in Northern Europe, Matt Brittin.

He claims that “no money changes hands,” not considering the fact that he in fact employed sales staff in Britain with employment contracts.

Later Ms Hodge announced that the documentation showed clearly that the entire trading process and sales process took place in the UK.

She read from the official guide to parliamentary procedure, Erskine May: “A person prevaricating or giving false evidence can be considered to be in contempt of the House.”

She added that whistleblowers would not disappear until the whole truth about it is being revealed.

The worth of Google’s sales in the UK is £3.2bn but the major part of them came from Dublin as it gave £6m in UK corporation tax only in 2011.

It is a fact that Mr. Brittin mentioned, that each adviser in Europe would be glad to deal with

Google in Dublin, which provides job to about 3,000 people.

He said that as soon as they had come to Europe they had taken the decision that Dublin would be their headquarters.

The motive he pointed out was their wish to have access not only to the customers from the UK but to those from whole the Europe. The only way to achieve that was through Ireland as this was the place where intellectual property sat.