You don't believe me? It was KPMG that said it. OK, they're only talking VAT, but this is an enormously important tax for the economy and for the companies that operate it. And they've issued research showing the follwoing::
- UK tops league table of VAT-friendliness in KPMG International survey
- Multinationals predict shift to indirect taxes as global tax competition drives down corporate income tax rates
- VAT errors now considered a greater risk than corporate tax errors
- 75 percent of global businesses expect governments to rely more on indirect taxation in the next five years.
- 50 percent of global finance directors rated errors in VAT compliance as the top global tax risk for their organization, significantly ahead of corporate tax risks (38 percent)
- 82 percent of global businesses prepared to give an estimate said their total annual VAT throughput was between US$200m and US$1bn
Multinationals put the UK at the top of the "VAT-friendliness league" and three quarters of major global businesses believe that governments will rely more on indirect taxes (such as VAT or general sales taxes) in the future according to a worldwide survey of senior finance professionals at over 500 large corporations in 22 countries around the world commissioned by KPMG International.
Let me be unambiguous about this: I oppose this trend. It places the tax burden on the poorest in society and takes it away from the richest. There is no justice in that, and massive social harm could follow.
But let me also deal with the topical issue. I've done a search and this story has got one mention in Google News. With all respect to the site mentioned, it's not well known.
Why haven't the CBI commented? Or the IoD? Or the Telegraph? Could it be that saying the UK is a business friendly environemnt is just not what they want to hear?
Shame on them.
Full marks to HM Revenue & Customs for a change.
We got something right. let's say so.