COMPANIES NEED TO ENSURE the public, media and governments understand their tax position through greater transparency, according to Accountancy Age readers.
This month, Ernst & Young warned in a report that detail disclosed by companies must be adequately explained in order to deliver greater understanding to stakeholders. Measures such as country-by-country reporting could instead produce a potentially significant administrative burden and cause businesses to “divulge commercially sensitive information”, it said.
But of the 61 readers polled by Accountancy Age, 50 – some 82% – disagreed, noting that without greater transparency, companies will continue to attract public, media and governmental scrutiny. The remaining 11 held concerns that releasing further information may not contribute towards any wider understanding of businesses’ tax affairs.
In the report, E&Y’s managing partner for tax in the UK and Ireland observed that “by seizing the initiative now”, companies can “positively inform and influence the debate”.
Since the release of the report, Dixon has appeared before the Public Accounts Committee alongside Google vice-president for Northern Europe Matt Brittin.
During the hearing, Brittin was roundly criticised by the committee for drumming up business in the UK before completing the deals in Ireland, driving down its UK tax bill.
HMRC is continuing to ramp up the number of raids on premises it carries out as part of criminal investigations, searching 761 properties in the last year
Lord Howard Leigh of Hurley discusses the government’s initiatives to mitigate tax avoidance and evasion
Top 50+50: Demand for tax advisory services remains high, but fee pressure is expected in relation to compliance services
The demand for tax advisory services remains high and this looks to continue; but fee pressure is expected in relation to compliance services as the “Making Tax Digital” initiative is rolled out,
While some resistance to change is to be expected, the degree of controversy surrounding HMRC's Making Tax Digital proposals has surprised the government