According to earnings filed by Netflix’s three UK companies, the streamer paid £3.2 million ($4.4M) in tax on its profits in 2019, compared with receiving a tax credit the year before. The companies, which include Netflix Services UK, Netflix Studios UK, and Netflix Productions UK, reported pre-tax profits of £13M, while revenues surged to £120M.
Despite the record tax bill, campaigners have pointed out that it should be paying a lot more tax in the UK, where its true revenues in 2019 are estimated to be £940M, according to respected analyst Ampere Analysis. This is based on the fact that Netflix has an estimated 13M subscribers in Britain.
Netflix structures itself in a way so that its British company,