It&#x27;s worse than that. The &quot;HQ&quot; is in Ireland, but pays &quot;royalties&quot; to an IP holding company in the Cayman Islands, which is where all the profits go, on which no tax is paid. This is the &quot;double Irish&quot; referred to in other comments.<p>Edit: note that you can just go and read the accounts for Facebook UK here: <a href="https:&#x2F;&#x2F;beta.companieshouse.gov.uk&#x2F;company&#x2F;06331310&#x2F;filing-history" rel="nofollow">https:&#x2F;&#x2F;beta.companieshouse.gov.uk&#x2F;company&#x2F;06331310&#x2F;filing-h...</a><p>A very important piece of information is left out of the article: what Facebook UK is paying in &quot;license fees&quot; to other parts of Facebook.<p>The accounts show £131m in &quot;administrative expenses&quot;, of which I can account for £86m in staff costs from the same document. £35m of that is a &quot;share based payments charge&quot;, which represents the accounting treatment of share options. Of course, the shares handed out are shares of the US parent and not the UK subsidiary.<p>131-86=£46m which isn&#x27;t broken down further.