KPMG offers deal to tax shelter clients

The majority of investors enticed into KPMG’s tax shelter schemes look set to accept a new compensation offer.

According to the New York Times, KPMG will pay about $150m (£83m) to 209 eligible investors if the deal is approved next month.

The revised settlement will give each investor an average of more than $700,000 (£388,000).

A deal offering $195m (£108m) in September collapsed after 64 of the 264 investors chose not to take part, saying the agreement did not offer them enough compensation.

The new deal is likely to see 76% of investors taking part, according to papers filed in the US District Court in Newark, New Jersey this week.

Last August, KPMG paid $456m (£253m) in a deferred- prosecution agreement with US prosecutors over certain tax shelter schemes.