Accountancy Age reports this week that UK corporate taxes are lower than any other major European economy and, apart from Russia, the lowest in the G8. For years, business “leaders” like the CBI have claimed that “high corporation tax levels are forcing an increasing number of multi-national firms out of the UK“. Now that has been proved false by research conducted by UHY, the international accounting and consultancy network. This shows that corporate tax rates on firms with pre-tax annual profits of $100,000, $1m and $100m are lower in every case than the US, Japan, Germany, France, Italy, Spain, Australia, Brazil, India and Mexico. Roy Maugham, tax partner at UHY Hacker Young, said:
The perception that the UK is a high tax jurisdiction for business is now something of a myth. There has been a lot of discussion about UK-resident businesses moving overseas – and this has happened – but the reality is that the UK is a considerably more welcoming business environment than most other major economies.”
