Impact on Tax and Tariffs

[Updated on 6 July, 2016]

British Chancellor George Osborne has announced a pledge to cut UK corporation tax by 5% in order to make businesses ”think twice” about leaving. This is perceived by commentators as a first act of negotiation- source. [Source: BBC News]

Mayer Brown

Tax is collected in the UK on the basis of domestic legislation, enacted by the UK Parliament. Therefore, the UK’s corporate tax code will most likely remain highly competitive and attractive for international businesses. The EU has, however, exerted some influence on the development of the UK tax code – several features of the UK’s current tax system are derived from EU law, and decisions of the European Court of Justice have resulted in further changes to the UK tax system. Read more>>

KPMG

Tax issues that companies need to anticipate relate to customs and trade impacts on physical supply chains.  Trade tariffs will depend on what deal is struck during the negotiations as well as a likelihood that Duty and VAT may also change.  This article relates to direct and indirect tax issues including BEPS, illicit trade and tax supply chain implications. Read more>>