Where is UBER taxed? Where does UBER pay taxes?

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Shane Conder
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If you pay UBER taxes, where does the money go? It is the question that many people ask us lately and in this article we will give you an answer; stay here and watch UBER do it.

Where is UBER taxed?

UBER is an American company, but its headquarters fiscal activity è in the Netherlands. But of course it has offices in different parts of the world. N o However, in the Netherlands it receives a very flexible tax treatment it's like a tax haven, that's where UBER pays its taxes.

Like other companies, UBER transfers most of its income to other countries, where the jurisdiction of the tax regime is much more advantageous for them, as they collect corporation tax in a more reduced way.

The intellectual rights that UBER has in the Netherlands include trademarks and licenses that the American company has in 63 different countries, as corporate taxes charge a maximum of 25% , when the normal percentage is up to 30%, saving at least 5% in tax.

This obviously helps to lower the bill that UBER has to pay in taxes, which is true tax haven. 

Why do companies not pay taxes in their own country?

Now you may be wondering or having doubts about what a tax haven really is; or even why many companies choose to have their tax addresses there ?;  Well, this is what we will answer next. 

Tax havens are jurisdictions, countries or territories in which a particularly favorable tax regime is applied for certain types of financial institutions or companies; provided they do not reside in the country.

It also applies to them un financial regime with low tax burden, or a reduced collection of major taxes.

They are places where financial, banking or monetary supervision or regulation is almost nil. In addition to this, they maintain strict banking secrecy, where they undertake not to disclose or exchange information of any kind with other jurisdictions; since to them no matter where the money comes from , only that it is deposited in the accounts of those territories.

Which in turn brings them many benefits, such as reviving the development of the economy, a better quality of life for users and for those who have become members of UBER. It is, therefore, a mutual benefit of the company towards the jurisdiction or territory in which this paradise operates.

If you pay UBER taxes, where does the money go?

The fact that UBER's tax domicile is located in the tax haven of the Netherlands has generated a lot of controversy; only if this has a legal basis. But the truth is, yes , it's totally legal, as its main priority is to put the passenger in contact with a company of drivers with a VTC license.

In a nutshell, what it does is keep some profit by charging a percentage of the fare paid by the customer, money that goes to this paradise and the other stays in the country where the taxi service originated.

In short, UBER works like one electronic service companies; not necessarily transport. And despite having had to endure the loss of large sums of money, he is his target Earn money in the future , with the dividend injections it feeds on.

All over the world UBER has increased the use of its service, reaching more and more countries; So gradually he also increased his profits, thanks to the fact that he has his tax domicile in places that give him facilities when it comes to paying taxes. If you enjoyed this article and it was helpful, please leave us a comment to encourage us to make quality content like this one.

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