Vodafone settles marathon case with taxman for £1.25bn
Telecoms giant Vodafone agrees to pay HM Revenue & Customs £1.25bn, drawing a line under long- running controlled foreign companies wrangle
Vodafone is to pay £1.25bn settlement to the taxman, bringing a long- running
controlled foreign companies dispute to a close.
The telecoms giant, had originally set aside £2.2bn in its accounts to cover
the potential costs of the 10-year legal battle, relating to how UK income is
used in overseas divisions based in low-tax jurisdictions.
Vodafone has said it will spread the payment over five years, according to
the
Daily
Telegraph.
George Osborne has pledged to review the CFC rules in moves to keep
multinationals from shifting their tax base out of the UK.
Further reading:
Vodafone
loses £2.2bn tax appeal battle
Vodafone
ruling prolongs CFC confusion