London: +44 (0)20 7236 2601
St Albans: +44 (0)1727 869141
Rickmansworth: +44 (0) 1923 771010
Milton Keynes: +44 (0)1908 605552

Non-resident companies

The Government is considering bringing all non-resident companies receiving taxable income from the UK into the UK corporation tax regime. At the Spring Budget in 2017, the Government will consult on implementing this change. The Government wants to deliver equal tax treatment to ensure that all companies are subject to the rules which apply generally for the purposes of corporation tax, including the limitation of corporate interest relief and loss relief rules.

It is not clear what impact these changes will have as offshore companies usually pay income tax at 20% on their UK income profits. However, they do not at present pay tax on any gains on the sale of UK commercial properties and it will be interesting to see if they are now proposing to tax such gains. The limitation of corporate interest relief and loss relief rules will only impact large groups.

 

 

Date: 24th November, 2016
Author: David Hadley

SHARE THIS

Articles from this Author

Contact Business Service Partners

Choose from the drop down menu below to select a Partner to contact.

Tweet

“Good luck to everyone who has also made it as a finalist, I look forward to awards evening later on in the year”-L… twitter.com/i/web/status/8…

Michael Lapham shortlisted in the Money Management Financial Planner Awards 2017 bit.ly/2fL8VXBtwitter.com/i/web/status/8…

Follow

LinkedIn

For the latest Mercer & Hole news, visit our LinkedIn page mercer-&-hole

Click here to follow us on LinkedIn