Next week’s Finance Bill will include legislation to reduce the main rate of corporation tax to 26% from 1 April 2011 and 25% from 1 April 2012. The small profits rate will be reduced to 20%, as announced in the June 2010 Budget, from 1 April 2011.
A leading Reuters editor told the BBC’s Newsnight earlier this week that only international co-operation will help prevent large multinationals using tax havens to undermine the tax base of national governments, after campaigners slammed a proposed exemption for profits of forei
‘Britain's banks may be forced to reveal the breakdown of their corporate tax contributions under a plan from the Treasury Select Committee to demand the information as part of its report on the sector.
Mike Lomax on the compliance implications of draft rules on foreign branch profits
A double taxation convention between the UK and Germany, signed in March 2010, entered into force on 30 December 2010 (see SI 2010/2975).
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Baker Tilly observed that last year Cadbury paid UK corporation tax of around £197 million, and that the company has now announced plans to move its headquarters to Zurich ‘to take advantage of Switzerland’s more competitive tax regime’.
Peter Cussons on the foreign branch exemption
A competitive corporate tax system is not just about rates, the Treasury said as it launched five consultations.