New rate for corporate tax claims
HMRC is to introduce a new corporate tax rate of 45p for companies claiming tax refunds, to ensure that firms “do not enjoy an unfair tax advantage at the expense of the public purse” report Harris & Co chartered accountants Northampton. The new rate has been imposed on restitution interest - the component of payouts related to tax paid “under mistake of law”. Affected companies will pay the 45p rate instead of the normal corporate tax rate of 20p. The government has also introduced anti-avoidance rules to stop a company from avoiding the tax altogether by transferring the payment offshore.
Source: Financial Times (24/10/2015)