George Osborne pledges to slash corporation tax to encourage Global business to UK a target of less than 15%
George Osborne has pledged to slash corporation tax to encourage businesses to still invest in the UK following the EU referendum vote. The chancellor said he would cut the rate to below 15% - some 5% lower than its current 20% rate. Such a sharp cut in business taxes would take Britain close to the 12.5 corporation tax rate in Ireland and would anger EU finance ministers who fear a race to the bottom. The move could also alienate voters, given recent controversies over tax deals struck with multinationals such as Google. The head of tax at the Organisation for Economic Co-operation and Development warned, in an internal memo cited by Reuters, that the fallout from Brexit “may push the UK to be even more aggressive in its tax offer” but that further steps in that direction “would really turn the UK into a tax haven type of economy”. Beside the tax cut, the chancellor said his five-point plan included focusing on a new push for investment from China; ensuri...