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[Hexus] Activision warns it might quit UK - Page 3

post #21 of 49
What the hell are people on about?

This is not 2.5% tax.

This is about companies having to pay hundreds of millions of pounds a year to the UK goverment.

This means that if a company every year even make 900 million pounds, and the next year it makes 400 million pounds because it has to pay 500 million for tax, it still makes money.

BUT

The owners will see this as the company lost 50% of its profits, which means to them, the company is now not profitable. Heads will roll, and people will be fired to keep the high income at the same level.

If a company has to pay 100M pounds to move its business elsewhere, in order to save 300M pounds of tax, they will do it in a heart bit. No one will even consider doing otherwise.

This means that the UK gaming industry will be severly hurt.
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post #22 of 49
Quote:
Originally Posted by StuffStuff1 View Post
LOL where is he logic in this statement.

2.5% a week?

2.5 x 52 = 130%...

Also i dont think you get it. Its 2.5% a year..

Suppose it will csot the company 5% of its income..

that means within 3 years they would be making moremoney then if they stayed in brittian.. Your not much of a business man.
Yeah so much better to move to some corrupt kingdom paying kick backs to some goverment probably wont be there in 2 years. Have to retrain 600 employees, build a new facility you cant get loans on, or has enough infastructure to support your business. Way to think inside the box.
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post #23 of 49
If the company doesn't want to pay the taxes - then they should leave. Then the government should simply ban those products from import, or put a large, 66% import duty on them - and then see if the company makes any money.

Too many companies cry about paying taxes, and then try to move elsewhere where they can use some slave labour - and then they wonder why they start cranking out inferior products and suffer from customer alienation.

As for moving to Canada??? No nation on Earth has a more oppresive tax system, with more of that tax money being shoveled into the endless pit of waste and corruption. If they move here, they will soon learn that lax corporate tax rates will be compensated by excessive property taxes, and excessive taxes heaped on taxes, plus the requirement to learn and understand the crazy tax system of FST, PST, GST, HST - all of which vary across the country, not to mention manufacturers taxes, and taxes on taxes on utilties. Oh, and then they can kick in a wad of cash every month to cover the massive, 50 billion dollar fraud of "retiring the Ontario Hydro debt"...
post #24 of 49
Quote:
Originally Posted by EvanPitts View Post
If the company doesn't want to pay the taxes - then they should leave. Then the government should simply ban those products from import, or put a large, 66% import duty on them - and then see if the company makes any money.
You cannot do that. Trade agreements between countries state the maximum import tariffs. Import substitution only makes products more expensive.


Quote:
Originally Posted by EvanPitts View Post
As for moving to Canada??? No nation on Earth has a more oppresive tax system, with more of that tax money being shoveled into the endless pit of waste and corruption. If they move here, they will soon learn that lax corporate tax rates will be compensated by excessive property taxes, and excessive taxes heaped on taxes, plus the requirement to learn and understand the crazy tax system of FST, PST, GST, HST - all of which vary across the country, not to mention manufacturers taxes, and taxes on taxes on utilties. Oh, and then they can kick in a wad of cash every month to cover the massive, 50 billion dollar fraud of "retiring the Ontario Hydro debt"...
Canada is one of the biggest upcoming games developing countries because of the tax breaks in that area. It has a huge pool of talent from both the US and Canada, a very high level of living and plenty of other businesses to which they can outsource to.

Any country you go to there are taxes, it's just identifying which are the least harmful. There is a good reason why so many devs are based in Canada.
post #25 of 49
Quote:
Originally Posted by Ibage View Post
So? It's not like they're hurting for cash. Between CoD and WoW, they'll make that 2.5% in a week
You do realize the obvious error in your logic right?

That 2.5% will be taxed again, and again, and again.

Lol?

So the decision is Move and solve all of these problems now, before they arise, or stay and allow millions to go down the drain every year.

HERP DERP
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post #26 of 49
I kinda doubt theyll move... but watch we shall.

Quote:
Originally Posted by StuffStuff1 View Post
The problem is that we buy it any ways. COD BO is probably the best example. Here in the US with taxes its about a $70 dollar game...
Exaggeration. @8% tax (above average for US), new games are under 65$. That is unless you buy in those well overpriced inner city tourist shops.
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post #27 of 49
Quote:
Originally Posted by BlackVenom View Post
I kinda doubt theyll move... but watch we shall.
Yup, thing is, the tax actually hasn't gone up. All they've done is scrapped the idea to remove it because that money is needed to pay off national debt. I think this is more Activision firing a warning warning shot across the Government's bow.

I think this is a sign that they want to sit down and talk about what can be done.
post #28 of 49
December 2010: Uk govermnet changes sales of goods act to reflect incomplete software and games

January 2011: Activision moves out of the UK.

I see a connection here...
post #29 of 49
Activision should just buy their own island and work from there.
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post #30 of 49
Good riddance, you guys are worse than Microsoft.
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