Re:The EU's Link Tax Will Kill Open Access and Creative Comm...
by matt4077 on Monday October 29, 2018 @03:18PM
(#18330400)
I cannot really tell what your supposedly "simple solution" actually is. But it seems just a restatement of OPs, but filtered through a Brexiteer's compulsion to add a bit us-vs-them to the mix.
In that case it suffers from the same failures as OP: Starbucks would seize to exist because coffee still makes up 50%+ of their cost of doing business. And it adds an extra layer of "but why?" with an artificial distinction between domestic and foreign-produced goods.
Taking on extra employees or switching to a local producer will reduce your tax bill. The government is then collecting payroll taxes from the new employee so it doesn't miss out too much.
If you're a global coffee chain that didn't make any 'profit' because you licence your logo from a subsidiary based in Switzerland. Well, that can't be deducted so you will be paying tax.