The draft clauses for next year’s Finance Bill were published today, and provide further details on the proposal to impose a new tax (at a rate of 25%) on multinational company profits that are “artificially diverted” from the UK.
Read a December 2014 report prepared by the KPMG member firm in the UK: Diverted Profits Tax – Attempting to define the ‘elephant’ in law
In the UK, the tax legislative cycle generally follows this process—the Chancellor’s Budget, the Finance Bill, the Autumn Statement, and then Finance Bill draft clauses. Although it can vary, in general, it takes about 16 months from the initial announcement (at Autumn Statement or Budget Day) through to completion of the Finance Act.
Read commentary about the Finance Bill draft clauses prepared by the KPMG member firm in the UK.
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.