Amazon’s UK arm has paid corporation tax for the first time in four years, after the end of a “super-deduction” tax break brought in by Rishi Sunak.
The delivery giant’s UK Services paid £18.7m in “current tax” last year on its £27bn of sales, which is believed to have been largely corporation tax.
Amazon paid £932m in “direct taxes” on its sales, including corporate tax and business rates, amounting to roughly 3.45% of its revenues.
The ecommerce giant, which recently ordered staff back to the office five days per week, also claimed its other UK arms had paid some form of tax during 2022 and 2023.
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It was given a £7.8m tax credit in 2022 as well as a £1.1m credit the year before, after the retailer’s investments in infrastructure meant it could make use of the super deduction.
A spokesperson for the delivery firm said: “As we continue to invest in our UK operations and workforce, we help fund public services and vital infrastructure, and create jobs throughout the country.
“Amazon ranks in the top 10 largest taxpayers in the UK for direct taxes, taxes we collect, and our overall total tax contribution – which was more than £4.3bn in 2023.”
They added: “We invested £12bn across the UK in 2023 alone, creating an additional £10bn benefit to UK GDP, and we are also one of the top five capital investors in the country and a top 10 contributor to business rates.”
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