This is an interesting article in the Mail. It’s a RECOMMENDED READ, in my view.
Deloitte CEO David Sproul says pursuing companies for their fair share of tax is damaging the economy | Mail Online.
As I have written on this blog before, this Government needs to urgently make corporation tax simpler, lower the rates and seriously encourage businesses to increase investment.
Capital investment should be deductible from taxable profits with a multiple.
Let’s tax an example:
Taxable profits £10 million.
Capital expenditure £2 million.
Multiple equivalent to a factor of three.
So we have taxable profits £10 million less (capital expenditure £2 million * 3) = Revised taxable profit £4 million.