This is pretty messed up, according to an article released by FastCompany yesterday, IKEA ” makes billions tax-free by operating as the world’s largest ‘charity’ “. The article goes to to explain that Ikea sells $28 Billion in furniture a year, making it the world’s largest furniture company, but pays a measly tax rate of just 3.5% compared to the industry average 18%. How do they do this? Essentially, calls themselves a “nonprofit” because they are incorporated as so due to the fact that they “further the advancement of architecture and interior design”. Seems pretty fishy, check out this great Whiteboard video from FastCompany which explains the whole process.
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