|
|
09 Oct 2009
The European Commission is taking legal action against the UK government, accusing them of preventing cross-border loss relief being implemented properly, according to the Financial Times.
They claimed yesterday that the UK was making it ‘impossible or virtually impossible’ for companies with taxable profits to take advantage of the ruling, first clarified in a landmark tax victory for Marks & Spencer in the European Court of Justice.
Cross-border loss relief allows a company to offset tax losses made by subsidiaries based in other EU countries against that company’s taxable profits. Advisers have predicted that if the UK government was to change the law it would cost them tens, or even hundreds, of millions of pounds in revenue.
In 2006, the government amended the rules as a result of the Marks & Spencer case but changes could only be applied ‘in some very limited circumstances’. The commission, however, labeled the changes as ‘unnecessarily restrictive’.
You may also like
Search thousands of financial jobs:
Search thousands of financial jobs:
Careers
Search for jobs
Click to search our database of all the latest accountancy roles
Create a profile
Click to set up your profile and let the best recruiters find you
Jobs by email
Sign up to receive regular updates with the latest roles suitable for you
Briefings
By looking at the reasons supplier statements became unfashionable, and the reasons why it is different today, this paper delves into the many benefits that can be obtained by automating the process.
Having a real and true view of your organisation’s current financial position, and having the right systems and processes in place, will ensure that you can make strong choices and are ready to capitalise on opportunities
AccountancyAgeInsight is a frequently updated resource centre for finance professionals, offering a free and easy-to-use digital library of briefings, white papers and other information resources. 
Visitor comments Add your comment