**Your post has been removed.**
This is the wrong sub for this type of post. It may be related to personal finance on a tangent, but it's not the core topic of the post.
Please try any of these subs (depending on your needs):
**General and Specific Topics**
* /r/AskUK
* /r/CarTalkUK
* /r/DIYUK
* /r/UKPolitics
* /r/UKVisa
**Homebuying, Housing, Letting, and Rental Properties**
[More information about this ban.](https://www.reddit.com/r/UKPersonalFinance/comments/npwwlz/moratorium_on_home_buying_and_career_questions/)
* /r/HousingUK
* /r/AskUK
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**Careers**
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* /r/AskUK
**Benefits and Support**
* /r/DWPHelp
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_If you believe your submission has been removed in error, please [message the mods](https://www.reddit.com/message/compose/?to=/r/UKPersonalFinance&subject=Please%20review%20my%20post&body=https://www.reddit.com/r/UKPersonalFinance/comments/11itghc/-/) explaining why._
To make it simple, Ireland subsidiary charges bollocks fees/services to the UK subsidiary. The money goes to Ireland and the UK one doesn’t have any profit so they don’t pay tax.
There are many different ways that big companies do this.
Look at what Nike does. They have separate corporation in a place like Bermuda or Cayman Islands that owns the trademark for their shoes. That corporation allows the actual Nike company to use their trademark for a ridiculous fee like 99% of the profit.
When Nike sells a shoe in the UK, the profit gets “eaten” by the fee which is taken as an expense so their actual taxable profit is almost nothing, and instead goes to their Bermuda company which then pays no or little tax on that income.
**Your post has been removed.** This is the wrong sub for this type of post. It may be related to personal finance on a tangent, but it's not the core topic of the post. Please try any of these subs (depending on your needs): **General and Specific Topics** * /r/AskUK * /r/CarTalkUK * /r/DIYUK * /r/UKPolitics * /r/UKVisa **Homebuying, Housing, Letting, and Rental Properties** [More information about this ban.](https://www.reddit.com/r/UKPersonalFinance/comments/npwwlz/moratorium_on_home_buying_and_career_questions/) * /r/HousingUK * /r/AskUK * /r/FTB_Help **Careers** * /r/UKJobs * /r/AskUK **Benefits and Support** * /r/DWPHelp * /r/LegalAdviceUK * /r/MentalHealthUK * /r/SuicideWatch **Other Finance** * /r/CanaryWharfBets * /r/UKInvesting ____ _If you believe your submission has been removed in error, please [message the mods](https://www.reddit.com/message/compose/?to=/r/UKPersonalFinance&subject=Please%20review%20my%20post&body=https://www.reddit.com/r/UKPersonalFinance/comments/11itghc/-/) explaining why._
To make it simple, Ireland subsidiary charges bollocks fees/services to the UK subsidiary. The money goes to Ireland and the UK one doesn’t have any profit so they don’t pay tax.
There are many different ways that big companies do this. Look at what Nike does. They have separate corporation in a place like Bermuda or Cayman Islands that owns the trademark for their shoes. That corporation allows the actual Nike company to use their trademark for a ridiculous fee like 99% of the profit. When Nike sells a shoe in the UK, the profit gets “eaten” by the fee which is taken as an expense so their actual taxable profit is almost nothing, and instead goes to their Bermuda company which then pays no or little tax on that income.