Treasury slammed over banking tax avoidance proposals
Proposals to cut down on tax avoidance in the banking sector are criticised by advisers, banks and industry experts
Treasury plans to crackdown down on banks’ tax avoidance would fail because
they would be unconstitutional, voluntary and could even lower tax receipts from
the sector.
Banks and advisers warned that the new code of conduct proposed by
the Treasury to
cut down on tax avoidance would not work. The national and sector focus of the
proposal would put banks at competitive risk, reported the FT.
In its consultation response, the
CIoT said
limiting the code to just banks could potentially amount to discrimination under
European Union law.