this post was submitted on 06 Jun 2026
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Political Memes
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Isn’t this what business do to avoid paying taxes also?
Yes.
Company A gets 1k. 1k is revenue.
Company A spends 1K at Company B. 1k is expense.
Company A has made 0 profit. 0 taxes.
Now if Company A owns Company B did it really lose 1k?
This is how money laundering works. More money more problems. You just have to leave a convincing paper trail an accountant will follow. Eventually they won't be able to follow that the flour supplier Company Z that Company B buys from for it's cookies is funneling Company B's money back into Company A. The accountant doesn't know that B isn't buying flour or making cookies. Sometimes they even make cookies...
That's not money laundering, though. That's just normal fucking loophole and corruption in our tax system that only the larger players get to really benefit from, while all the small players, a.k.a. all your local businesses or even regional businesses, usually aren't large enough to take advantage of that sort of thing.
nO YoU dONt unDErsTAnD iTS a ComPAnY iT sHOuldNT pAy TaXEs!!!