News Summary: Britain targets corporate tax dodges

News Summary: Britain targets tax avoidance; parliament panel slams Amazon, Google, Starbucks

Associated Press

CLAMP DOWN: The British government is earmarking an extra 77 million pounds ($124 million) and hiring 100 new tax investigators to clamp down on major multinational companies avoiding British taxes. Treasury chief George Osborne says the investment would bring in an extra 2 billion pounds a year.

ACCUSATIONS: The announcement comes after Parliament's public accounts committee accused major multinational companies including Starbucks, Google and Amazon of "immorally" dodging taxes. The companies insisted they operated within the law, although Starbucks announced it is reviewing its British tax practices.

LOCATION HAVENS: Companies operating in Europe can base themselves in any of the 27 European Union nations, allowing them to take advantage of a particular country's low tax rates. Google has picked Ireland and Bermuda, Starbucks is based in The Netherlands and Amazon in Luxembourg.

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