WPP has suggested it might leave the UK for tax reasons and relocating in
Ireland for tax purposes.
Sir Martin Sorrell, the FTSE 100 group’s founder and chief executive, said
that the move could cut the group’s £200m tax bill by tens of millions of pounds
The news of the plans came yesterday as Alistair Darling launched a review of
the UK tax system’s competitiveness.
The advertising group has said it will decide after examining the Treasury’s
proposals to tax foreign profits, final details of which are expected in July.
Darling has put together a group of individuals from the private sector to
advise on business tax issues.
The review follows decisions by pharmaceutical giant Shire and United
Business Media (UBM) to relocate headquarters to Ireland for tax reasons.
AstraZeneca is also
not ruling out relocation, according to the Financial Times.
KPMG warned yesterday of
the ‘danger of a bandwagon effect’. John Griffith-Jones, head of KPMG Europe,
told the FT that HM Treasury was concentrating on closing loopholes but ‘they
need to look at this through a corporate lens…the fact is, the shop down the
road is selling [business taxation] for less’.
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