Facebook and Profit

http://www.forbes.com/sites/timworstall/2013/12/06/how-facebook-turns-a-e1-75-billion-gross-profit-into-a-pre-tax-loss-of-e626000/

How facebook turned nearly 1.75 billion in gross profit into half a million euro loss. its a bit like playing cups and balls with very large amounts of money.

Ad company A generates the profit, then has to pay all that profit to Holding company B that is domiciled outside the current geographic tax boundaries. Why ? Cos Holding company B has the trademarks on the logos it uses, namely Facebook … So one part of facebook pays another part of facebook for the privilege of using “Facebook”.

And I worried about my 1040 !

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