Jack Prytherch (Bird & Bird) discusses what HMRC will look for in an investigation and the steps MNEs can take to protect themselves.
Despite the introduction of the UK’s diverted profits tax (DPT) HMRC believes that many multinationals (MNEs) are still not paying the correct amount of UK tax as a result of profit diversion. In a recent webinar (6 October 2020) HMRC gave an update on the status of its diverted profits investigations. The update provides a useful insight into what HMRC will look for in an investigation as well as what steps MNEs can take to protect themselves.
Diverted profits
DPT is targeted at contrived arrangements whereby MNEs seek to divert profits earned in the UK to another jurisdiction where they pay little or no tax. Specifically DPT applies to profits arising from 1 April 2015 and aims to counteract the diversion of profits...
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Jack Prytherch (Bird & Bird) discusses what HMRC will look for in an investigation and the steps MNEs can take to protect themselves.
Despite the introduction of the UK’s diverted profits tax (DPT) HMRC believes that many multinationals (MNEs) are still not paying the correct amount of UK tax as a result of profit diversion. In a recent webinar (6 October 2020) HMRC gave an update on the status of its diverted profits investigations. The update provides a useful insight into what HMRC will look for in an investigation as well as what steps MNEs can take to protect themselves.
Diverted profits
DPT is targeted at contrived arrangements whereby MNEs seek to divert profits earned in the UK to another jurisdiction where they pay little or no tax. Specifically DPT applies to profits arising from 1 April 2015 and aims to counteract the diversion of profits...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
