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Effectively it means the US firm will pay a rate of around 2.77% when companies normally pay corporation tax at 20%.
We asked our panel of Dame Margaret Hodge, who has grilled Google bosses before when she was the chair of the Public Accounts Committee; Anne-Marie Trevelyan, a conservative MP who is currently on the committee; Lucien Bartram, a small business owner and Steve Lewis who runs a coffee shop in Crickhowell in the Welsh valleys whether Google are paying enough.