Greene King tax scheme "contrived", says QC
Pub group's tax appeal continues, with HMRC's QC dismissing its scheme
TAX PLANNING by pub group Greene King was described as “contrived” during a hearing, in which it is appealing an earlier decision to throw out its use of a scheme to avoid £300m in tax.
HMRC’s QC David Milne, described the EY-devised scheme entered into by Greene King as a “contrived transaction”, and the appeal should be dismissed, reported The Guardian.
The scheme saw an internal loan made between its companies, in which the lender is not taxed on the finance while the borrower makes a deduction against the interest on the loan.
Greene King chief executive has previously voiced surprise that his firm was being portrayed in the same light as companies criticised for their tax strategies, Starbucks and Google, describing the claim as an “insult”.