Amazon had sales of €44bn in Europe in 2020, but paid no corporation tax

Fresh questions have been raised over Amazon’s tax planning after its latest corporate filings in Luxembourg revealed that the company collected record sales income of €44bn (£38bn) in Europe last year but did not have to pay any corporation tax to the Grand Duchy.

Accounts for Amazon EU Sarl, through which it sells products to hundreds of millions of households in the UK and across Europe, show that despite collecting record income, the Luxembourg unit made a €1.2bn loss and therefore paid no tax. Read more at In fact the unit was granted €56m in tax credits it can use to offset any future tax bills should it turn a profit. The company has €2.7bn worth of carried forward losses stored up, which can be used against any tax payable on future profits. Read more at https://news.sky.com/story/amazon-tax-power-and-profit-in-a-pandemic-12311081

The information provided in this blog is for general guidance only and should not be considered as professional advice. Tax laws and regulations are subject to change, and their application can vary depending on individual circumstances. For personalised advice tailored to your unique situation, we recommend consulting with a qualified accountant or reaching out to us at BM & Co. We're here to help ensure accuracy and compliance with UK tax regulations.

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