Tax Update Spring 2025

On 28 April 2025 the Government announced a package of technical tax policy proposals aimed at simplifying and reforming the tax system and improving tax administration. These included the publication of draft legislation new consultations various technical papers and responses to consultations as well as updates on previously announced measures together with new initiatives.

Key business tax announcements include:

• draft legislation reforming the UK rules on transfer pricing permanent establishment and diverted profits tax;
• a consultation on proposals to bring medium-sized enterprises within the transfer pricing rules and to introduce new reporting requirements for multinational groups in respect of cross-border related party transactions;
• plans to establish a working group for simplifying and improving the administration of the Corporate Interest Restriction;
• the government’s response to...