Hacker News Reader

Comment by bobbytran | Hacker News Reader

Incorporated outside of Sweden is the key here. It seems people are downvoting me because they dont want to hear the truth...but other commenters keep making my point quite nicely.

Incorporating outside of Sweden allows big companies to enjoy tax benefits and then hire Engineers from Sweden at an average of 50,000USD to 68,0000USD (these numbers can easily be found on Google).

They get lower taxes, a cheap labor pool, and the company isn't limited through draconian taxes and regulations, it only has to deal with it at a satellite office. It's a win-win.

Now show me a company that's large, started in Sweden, and is still in Sweden many years later.

View on HN

But it's the same exact thing that any larger Western corporation do when they become multinational, be it an American, British, Australian, they go out and create multiple tax schemes to avoid their duties, it's not a matter of Sweden specifically having high taxes or not, it's a matter of a systemic issue for tax evasion that large corporations can afford to abuse.

Electrolux, Ericsson and Volvo are still incorporated and have their HQs in Sweden.

Now, by moving the goalposts, you lost your initial argument. Sure it might be the case that Swedish companies, at some stage of their growth, tend to incorporate in another country.

Still the benefits Swedish employees experience don't seem to be in the way of getting a startup successfully up and running in Sweden.

This was my point all along. You might be able to start a company in Sweden, but you won't be able to grow it there because of taxes and regulations.

It's funny how it took so long for someone to finally admit that I'm correct instead of being willfully ignorant about the realities of a socialist country like Sweden.

Sweden is not socialist, for fucks sake, don't push this agenda here. Sweden has one of the freest markets in the world...

If social policies is socialism for you then I'm at a loss here because that point of view is utterly stupid.

Just because you're incorporating in a different country doesn't mean you're not continuing to grow and develop your business in the original country.

Spotify still pays taxes in Sweden. Incorporating doesn't let you avoid income taxes in your HQ country or avoid labor laws, it just lets you play around with the taxes you pay on your foreign income.

Reply on news.ycombinator.com