TaxCorporate TaxCBI urges ‘radical’ overhaul of UK’s corporate tax

CBI urges ‘radical’ overhaul of UK’s corporate tax

CBI report urges ‘radical overhaul’ of UK’s corporate tax to regain ‘internationally competitive’ status

A report, prepared by a
CBI
taskforce, stresses a radical overhaul of the UK’s corporate tax system is
urgently needed for the country to regain its status as an internationally
competitive location.

The report, ‘UK business tax: a compelling case for change’, is calling for a
drop in the headline corporation tax rate from 28% to 18% within eight years,
suggesting the cut would more than pay for itself over time through increased
economic activity.

‘An 18% business rate within eight years would help restore the UK’s low tax
credentials. But a radical shake-up is also vital if clarity, certainty and
simplicity are to be reintroduced to the system so firms can plan with
confidence and make Britain their long-term home,’ Richard Lambert, CBI
director-general, said.

The report also calls for tax calculated on the basis of existing company
accounts; a ‘no surprises’ legislative and administrative process, allowing more
time for proper consultation on tax proposals; a non-political, independent tax
law commission; proactive UK government action on all cross border tax issues;
and a simplified and improved tax system to stimulate the growth of small and
medium-sized enterprises.

Further reading:

ABI warns Treasury against ‘ill-thought-out’ taxes

PM’s adviser warns on tax competitiveness

Related Articles

Watch out when winding up

Corporate Tax Watch out when winding up

1m Emma Rawson, ATT Technical Officer
How might Brexit affect UK tax policy?

Brexit & Economy How might Brexit affect UK tax policy?

2m Santhie Goundar
Corporation tax losses – your newly flexible friends

Corporate Tax Corporation tax losses – your newly flexible friends

4m Emma Rawson, ATT Technical Officer
HMRC large business tax enquiry duration rises to 3 years

Corporate Tax HMRC large business tax enquiry duration rises to 3 years

4m Emma Smith, Managing Editor
SMEs paying higher rate of corporation tax than big businesses

Corporate Tax SMEs paying higher rate of corporation tax than big businesses

5m Alia Shoaib, Reporter
Big names, little tax: Airbnb, Facebook, Kellogg’s, eBay

Corporate Tax Big names, little tax: Airbnb, Facebook, Kellogg’s, eBay

8m Alia Shoaib, Reporter
New trading allowance: simplicity, but not as we know it

Administration New trading allowance: simplicity, but not as we know it

8m Emma Rawson, ATT Technical Officer
EU divided over radical tax reforms targeting tech giants

Corporate Tax EU divided over radical tax reforms targeting tech giants

8m Alia Shoaib, Reporter