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> The first point is that NI is pretty much unavoidable anyway, so including it doesn't really make you look great. Only really low-level tax evaders try to get out of NI and PAYE.

IANATL but do Starbucks even have any PAYE or NI tax to pay? Isn't it their employees that pay that? Just because Starbucks happen to take the money off of your pay cheque for you doesn't mean that it's not your tax liability that's being paid for.

Not having your employees systematically avoiding tax (e.g. like what happens at some levels in the civil service) is great and all but it's not like Starbucks are out there preaching to their employees about how awesome it is to be a tax payer.

In the UK, PAYE and NI are deducted from your headline wage, but then the employer has to pay an additional NI contribution on top of that, which is what Starbucks are presumably referring to. Employers aren't allowed to deduct this from staff wages, so instead they simply pay staff a lower wage to start with.


Employers pay contributions to the employee's NI. I don't know the exact ratios, but it's non-trivial.

I threw PAYE in there, since NI and PAYE tend to go hand-in-hand. Looking at it again, I probably muddied my explanation somewhat.

Starbucks aren't preaching to their employees, but they are trying to claim moral credit for paying a tax that's not worth their time to get out of paying.


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