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Originally Posted by fashionista-ta View Post
Please, that cannot be true. First of all, they could get a tax write-off for donating them. They have to deliver the garments somewhere in either case. It simply cannot be less expensive to burn them. They could send them to another continent if they don't want the garments hanging around in their market.

Designers don't do this, to my knowledge ... I buy their leftovers on Yoox all the time. It's not like H&M is some great brand that can't be diluted. I'm kind of mystified ...
They pay taxes?

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I hope the tax law in Sweden is better than ours. I don't really know anything about European corporate tax law, I must admit.

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Originally Posted by fashionista-ta View Post
I hope the tax law in Sweden is better than ours. I don't really know anything about European corporiate tax law, I must admit.

It is easy to use tax havens. IKEA only started paying taxes to Sweden in 2015, for example. I guess the founder finally figured he was rich enough!

H&M claims 26% of their earnings go to tax payment, but it seems they pay different taxes in different countries so it is difficult to guess what would be the most economical. All countries would need its own policy.

Depending on how tax deduction for clothes donated from Denmark to a foreign charity is calculated, it is possible that it is the most economical... despite their high taxes.

It seems so unlikely that a business so focused on cutting costs would chose the more expensive alternative.

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