back to article Microsoft UK revenues surged as profits slimmed

Spare a thought for Microsoft's British tentacle. It reported surging local revenues for fiscal 2021 yet profits shrunk, according to financial accounts. Documents filed at the UK's Companies House show Microsoft's revenues grew to £4.86bn for the year ended 30 June, up from £4.03bn for the same period in 2020. Profit after …

  1. Doctor Syntax Silver badge

    How much of Microsoft UK's costs are payments to other parts of Microsoft? If corporation tax in the UK goes up expect those "costs" to increase.

    1. Anonymous Coward
      Anonymous Coward

      It’s nothing new

      This is pretty much how every tech company has operated for decades. Way back in the 1990s Autodesk introduced what I think was known as a commissionaires agreement and shuffled most functions off to Neufchâtel in Switzerland to achieve the same objective.

  2. Roger Greenwood

    Wow

    So UK turnover per employee is over £1m each. That is an impressive figure given the minimal amount of physical stuff involved.

  3. Anonymous Coward
    Anonymous Coward

    Playing the system.

    I sometimes wish I worked for HMRC, I would be a bloody nightmare for these big corporations, I'd so be tearing apart those so called costs of doing business. It's a joke we know how it works, you just increase your 'costs', bury those costs in so many levels and details until it's incomprehensible so to minimise those declared profits and minimise the tax. A American company I used to work for, did it all the time. Lots of cross charging of 'training' and 'other' things to extract the profits from a subsidiary to the European HQ (Netherlands) or now ROI where the tax is lower. No matter how hard we worked or how much we sold we barely ever made a profit. And that's the way .Inc liked it.

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