United Kingdom

Details

  • Type: Press release
  • Date: 05/12/2012

Autumn Statement 2012: Chancellor declares Britain “open for business” – as long as you ‘play fair’ says KPMG 

Wednesday 5th December 2012


Commenting on the tax measures announced by the Chancellor today, Chris Morgan, head of tax policy, at KPMG said:

 

“This was a statement in which the Chancellor essentially said to business: ‘ we are committed to delivering a competitive and business-friendly tax system but you must play by the rules’.  He unveiled some big tax ‘carrots’ today in the form of a surprise cut in the corporate tax rate, a tenfold increase in the annual investment allowance for plant and machinery, a rise in the personal allowance and the cancellation of the planned fuel duty increase. 


“There’s a big ‘stick’ being wielded on those who don’t play by the rules.  Next week we will see the details of the general anti-abuse rule and the Chancellor announced more funds for tackling tax avoidance.   He also underlined his commitment to looking at how international tax rules operate in conjunction with other European governments.  As a lively debate on corporate tax continues, it’s vital that business engages by being more transparent about the contributions they make.

 

“However, whilst the one percent cut in the corporate tax rate is undoubtedly welcome by most businesses, the extra money for this could arguably have been better used to fund infrastructure allowances to encourage private investment.”

 

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Follow us on twitter: @kpmguk #AS2012


www.kpmg.com/uk/autumnstatement

 
For further information please contact:
KPMG Press office
Tel:  +44 (0) 207 694 8773
Margot Cowhig, KPMG Corporate Communications
Mobile: 07920 274856: Email.address margot.cowhig@kpmg.co.uk


About KPMG:
KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with over 11,000 partners and staff.  The UK firm recorded a turnover of £1.7 billion in the year ended September 2011. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 152 countries and have 145,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity.  KPMG International provides no client services.

 

 

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Autumn Statement 2012