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RasputinDude
14th November 2012, 13:30
The European Court of Justice (ECJ) found that by taxing dividends earned from companies based in Britain differently from income gained abroad, Britain's treasury overcharged companies for decades.

Top British companies have overpaid billions in tax - EU Court | Reuters (http://uk.reuters.com/article/2012/11/13/uk-eu-court-idUKBRE8AC11J20121113)

Have we done this one yet?

VectraMan
14th November 2012, 14:00
Specifically this applies to British companies that have foreign subsidiaries. I work (in Britain) for a US company that's wholly owned by a British group, so I guess the company could be in for a windfall if this turns out to be correct.

AtW
14th November 2012, 14:03
I guess the company could be in for a windfall if this turns out to be correct.

"It is not yet clear how far back companies might be able to claim retroactive repayment of taxes, with claims dating back to 1973. This question is scheduled to be examined in a separate ECJ court case in 2013."

Sensible decision from EU.

RasputinDude
14th November 2012, 14:18
Why does some part of me expect the treasury to start shouting about how nasty and bad retrospection is?

Mich the Tester
14th November 2012, 14:27
Why does some part of me expect the treasury to start shouting about how nasty and bad retrospection is?

:rollin:

speling bee
14th November 2012, 15:08
Why does some part of me expect the treasury to start shouting about how nasty and bad retrospection is?

Why bother? Parliament can just pass the 'Retrospective we're not paying it back and here's an extra 10% windfall Act'. And as our elected representatives are duty bound to act in our best interests, we can eagerly await it.

AtW
14th November 2012, 15:11
Why does some part of me expect the treasury to start shouting about how nasty and bad retrospection is?

Gordon Brown apparently cancelled this tax error in his first budget (that would be 1997 I think?).

It's in hands of court now to determine the position regarding previous years and if Treasury loses it won't be forming lobby group to reverse it - they'd just blame Tories under which it happened and try to get some money from current tax cheats.

Mich the Tester
14th November 2012, 15:12
Gordon Brown apparently cancelled this tax error in his first budget (that would be 1997 I think?).

It's in hands of court now to determine the position regarding previous years and if Treasury loses it won't be forming lobby group to reverse it - they'd just blame Tories under which it happened and try to get some money from current tax cheats.

'Current tax cheats' like the treasury?

AtW
14th November 2012, 15:14
'Current tax cheats' like the treasury?

Treasury just does what Parliament intended - if you have problem with taxes bring it up with politicians.

Mich the Tester
14th November 2012, 15:18
Treasury just does what Parliament intended - if you have problem with taxes bring it up with politicians.

I don't have a problem; the companies have a problem, took it to the ECJ and now the government has a problem. In fact, if those companies have to be reimbursed then everyone has a problem, although I suspect it won't come to that.

AtW
14th November 2012, 15:20
I don't have a problem; the companies have a problem, took it to the ECJ and now the government has a problem.

Companies don't have a problem - they used the system to resolve it.


In fact, if those companies have to be reimbursed then everyone has a problem, although I suspect it won't come to that.

Why would everyone have a problem? If the tax was unduly taken then it should be returned back with interest. It's possible court will limit it to X years, they should have brought lawsuit earlier and have only themselves to blame.