TaxCorporate TaxMark Hoban says CFC reform approaching

Mark Hoban says CFC reform approaching

Government is willing to consider the "territory" rather than country of ownership model, says Treasury financial secretary Mark Hoban

Long-running efforts to reform the way overseas subsidiaries of UK companies
are taxed are gaining momentum.

The controlled foreign companies regime has caused major headaches for UK
multinationals including Vodafone and Cadbury but Treasury chiefs have said the
government is willing to compromise.

Earlier this week, Mark Hoban, financial secretary to theTreasury, confirmed
in a speech government’s wish to move the country towards a more territorial
system of corporate taxation.

Hoban said that the coalition government was determined to reform the CFC
regime and the taxation of foreign branch profits, so that it “properly reflects
the modern, global, business environment.”

“The UK needs a more territorial approach to taxation,” Hoban said in a
speech at City Week, an event to promote the City of London and the UK financial
services industry. “We want to make CFC rules easier to operate, to enhance the
attractiveness of the UK economy.”

Further reading:

Controlled
foreign companies rules must keep UK commercial

Vodafone
settles marathon case with taxman for £1.25bn

PBR
06: Brown delivers Cadbury ‘insult’ on CFC s

Related Articles

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

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

2m Alia Shoaib, Reporter
New trading allowance: simplicity, but not as we know it

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

2m 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

2m Alia Shoaib, Reporter
‘Improve rather than lose’ disincorporation relief, tax body urges

Administration ‘Improve rather than lose’ disincorporation relief, tax body urges

2m Austin Clark, Reporter
How to educate your clients about tax avoidance

Corporate Tax How to educate your clients about tax avoidance

2m Clear Books | Sponsored
CGT clampdown nets HMRC £124m – but could lead to increase in use of avoidance schemes

Corporate Tax CGT clampdown nets HMRC £124m – but could lead to increase in use of avoidance schemes

3m Austin Clark, Reporter
‘Google tax’ nets HMRC £281m

Corporate Tax ‘Google tax’ nets HMRC £281m

3m Emma Smith, Managing Editor
Should I incorporate my buy-to-let business?

Corporate Tax Should I incorporate my buy-to-let business?

4m Emma Rawson