A proposed US tax law that could levy a 30% tax on multinationals that take
advantage of the favourable US/UK tax treaty could threaten London’s status as a
premier financial centre.
According to an article in the FT, the new measure will apparently
prevent multinationals from skirting tax in the US by transferring funds from
the US to parent companies via countries with favourable tax treaties such as
The proposed legislation, named the Doggett law after the Texas Democrat who
put it forward, will target the current system that allows companies with
headquarters in countries with no tax treaties with the US, such as Singapore
and Taiwan, to move cash into these jurisdictions through countries with tax
An example would be South Korean group Samsung, which would no longer be able
to make tax-free transfers between the US and UK under the current
Democrats, however, have emphasised that the law will be specifically focused
on tax haven that are used to hide earnings.
Does Darwin's theory apply to taxation? Colin ponders...
The UK tax gap fell in 2014-15 to its lowest-ever level of 6.5%, revealed official statistics published today
Changes to the tax system is urged to support the growth of entrepreneurs, found a report from the Grant Thornton UK, the Institute of Directors, and the Prelude Group
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states