Tax is an important part of life for most of us – our hard earned money goes towards running the country! The government collects tax so they can spend it on our healthcare, road network, schools, emergency services and other important services. Lots of businesses do pay their fair share, but on the other hand, there are always some who decide to avoid their taxes or who lie on their paperwork. These people run the risk of going to prison for tax avoidance.
There are lots of big businesses around the world who have lots of clever accountants to help them find loopholes in different tax laws for countries. By setting up different business interests within different countries, there are ways for larger empires to avoid paying the right amount of tax. Examples in the past have included Apple, Amazon and other large superstores.