The need for taxpayers to exercise diligence when sourcing supplies has been reinforced by the victory of mobile phone companies Unistar Group and Unistar Trading over withheld VAT payments. The case is a symptomatic of HMRC’s attempt to defeat missing trader fraud.
The OECD released its long-awaited report to the G20 on base erosion and profit shifting (BEPS) today. It has been welcomed by business and activists alike, hailing an era of greater dialogue and cooperation to address the weaknesses of the international tax system and tackle avoidance.
Online retailer Play.com has shut down its once profitable Jersey business, which thrived because of the low value consignment relief (LVCR) VAT loophole. The move is a blow to the Channel Islands' economy, but has been welcomed by UK businesses undercut by their offshore rivals.
Round two of the UK Parliament’s Public Accounts Committee (PAC) hearing on tax avoidance saw Margaret Hodge MP land a number of damaging blows on tax leaders of the Big 4 accountancy firms, but few preconceived opinions will have changed on either side of this polarised debate.
