Publishing Is Rotten To The Core
Amazon is regularly slated for the way it manages its tax affairs. I have written extensively about this before, but, in short, Amazon is using common methods for minimizing its tax bills that are used by every major tech company, and many other multinational corporations too).
You can argue these loopholes should be closed (and I would agree, for what it’s worth), but these actions are legal. And I wouldn’t be surprised if the major publishers, and the global media conglomerates which own them, are doing the exact same thing.
Take Harlequin, for example. Harlequin doesn’t just use these corporate structures to minimize its tax bill. It has also used them to reduce the 50% digital royalty rate agreed in some of its initial ebook contracts to a paltry 3%. Harlequin is facing a class action suit because of this, but you won’t find coverage of that in the news media or outrage about Harlequin’s actions among publishing professionals. Read More…