Microsoft Irish subsidiary paid zero corporate tax on £220bn profit last year

Re:Microsoft Irish subsidiary paid zero corporate tax on £22... by KMag on Thursday June 03, 2021 @08:03AM (#27380017)

The disadvantage of an S. Corp is that you don't have any flexibility in evening out profit distributions between good years and bad years, right?

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Re:Microsoft Irish subsidiary paid zero corporate tax on £22... by bklyn11201 on Thursday June 03, 2021 @09:21AM (#27380881)

This is correct. If you know the income will arrive in the future, you should aggressively shop banks looking for a line of credit to even out your lumpy income. The interest paid to the bank for the LOC is tax deductible by the business.

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Re:Microsoft Irish subsidiary paid zero corporate tax on £22... by jermaustin1 on Thursday June 03, 2021 @09:20AM (#27380857)

technically true, since every year you take a cash distribution of the profit, BUT you then roll that into the following year and all distributions are tax free... cuz you already paid taxes on it.

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