U.K. Secretary Javid Reportedly Says Google Tax Settlement 'not Glorious Moment'

(RTTNews) - BBC quoted the U.K. Business Secretary Sajid Javid as saying that Google's 130 million pounds UK tax settlement was "not a glorious moment" for the government.

The UK tax authorities' agreement with Google has fuelled a "sense of injustice" that big businesses receive preferential treatment, Javid reportedly said.

His comments come a week after Chancellor George Osborne called the settlement a "major success".

Peter Barron, a senior Google communications director, reportedly said, "We would like to see more simplicity and more clarity, not least because we would like to be seen to be paying the right amount."

Last week, Google parent Alphabet Inc. (GOOGL, GOOG) has agreed to pay 130 million pounds or $185 million in a tax settlement with U.K. authorities. The company would adopt a new approach for U.K. taxes, and the settlement covers taxes going back to 2005. It will now pay tax based on revenue from U.K.-based advertisers, which reflects the size and scope of its U.K. business.

The company has been criticized for paying a fraction of the taxes due on sales in the U.K.