- 32 updates
Anti tax-avoidance group UK Uncut is planning protests in Starbucks cafes on Saturday (December 8), involving "creative civil disobedience".
The PAC have criticised HMRC for undermining the system because it was "selective" in its prosecutions and warned smaller companies could feel victimised.
Margaret Hodge, who chairs the Public Accounts Committee has called for companies that abused the system to be "named and shamed".
She added: "HMRC should be challenging this but its response so far to these big businesses and their aggressive tax planning has lacked determination and looks way too lenient. Policing the tax system must be at the heart of what HMRC does.
"It must be more aggressive and assertive in confronting corporate tax avoidance. This is essential for the credibility of both the Department and the tax system.
"Confidence in our tax system can only be maintained if every company and every individual is seen to be paying their fair share. That requires HMRC to act firmly now."
The report said Google accepted profits should be taxed in the countries where they are generated but "undermined its own argument" because it remits its non-USA profits, including from the UK, to Bermuda, which has an advantageous tax regime.
Google is facing a review of its tax affairs by revenue and customs officials that could land it with a big bill.
MPs rounded on Amazon's representative saying they were left frustrated because he was "evasive and unprepared to answer legitimate questions".
While the company had a UK operation involving 15,000 staff it pays little corporation tax in the UK.
It said the company's UK website reported a turnover of £207 million for 2011 but its tax expense was just £1.8 million.
Chancellor George Osborne will today unveil details of £154m of funding to help tackle tax evasion and avoidance by big-name global companies and wealthy individuals.
Mr Osborne is expected to order Revenue officials to use some of the cash to draft in an army of investigators to target high earners who aggressively avoid or evade paying tax.
The funding will be confirmed in this week's Autumn Statement which is expected to deliver bleak news for benefit claimants as well as the wealthy.
On Sunday, the Chancellor said there would be extra investment in the part of the Inland Revenue that tackles tax avoidance by multi-national companies.
Starbucks, Google and Amazon were accused of "immorally" minimising their UK tax bills in a damning report by a spending watchdog today.
The Public Accounts Committee criticised the companies for the "unconvincing and, in some cases, evasive" evidence they gave on why their corporation tax payments are so low.
In a statement, the coffeee shop chain said: "We have listened to feedback from our customers and employees, and understand that to maintain and further build public trust we need to do more.
"As part of this we are looking at our tax approach in the UK."
Starbucks has confirmed it is in talks with tax officials about increasing the amount it pays the Treasury.
The coffee chain uses legal accounting methods to lower its tax liability, but has recently come under fire for paying less than one per cent corporation tax in Britain over the last 14 years.
Watch this report from Harry Smith:
After reports that Starbucks is set to voluntarily increase its tax payments in the UK, Jane Harvey, a spokesperson for UK Uncut said:
Starbucks is "in talks with the Treasury" over its controversial UK tax policy, the coffee shop chain has announced.
In a statement, the company said:
Latest ITV News reports
Starbucks volunteers to pay £20 million in corporation tax but will it be enough to satisfy tax dodging campaigners?