Corporate tax reforms being considered by HM Treasury could see £100bn of profits lodged abroad brought back to the UK, with some £10bn to £15bn to come thereafter, according to Chris Morgan, head of international corporate tax at KPMG.

Morgan made this bold claim in an article today’s Independent with reference to a discussion paper issued by HM Treasury entitled ‘Taxation of the foreign profits of companies: a discussion document.

Morgan said that because such profits are left overseas rather than being brought back to the UK and subject to tax, the new rules, in effect exempting them from tax, will indeed, would be revenue neutral (as promised by the Treasury).

He concluded this would leave the UK with a more liberal regime than France, Germany or the United States.

Further reading:

Wide-ranging business tax reforms on the cards

Treasury's corporate tax consultation due today

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