In the last two days the Treasury has announced its intention to implement a number of the key proposals in the Business Taxation chapters of the report by Lord Forsyth's Tax Reform Commission, including:
- ending the system whereby profits repatriated from overseas companies back to the UK are taxed
- abolishing Treasury Consent (the last remainder of pre 1979 exchange controls)
- establishing an Advance Clearance system to confirm upfront the tax treatment of major transactions
- relaxing the anti-tax haven rules
The changes are all aimed at simplifying the tax regime and making the UK more business and inbound investment friendly. The feared loss of interest relief for loans to buy overseas subsidiaries has only materialised in a very limited form, unlikely to affect most business. Overall these measures are a big improvement on the current UK tax system.
Despite the TRC being established by George Osborne, its recommendations have not yet been adopted as party policy which has made it easier for Gordon Brown to steal a march on him and claim them as his own (one of the many patented New Labour traits that Brown doesn't look like shaking off anytime soon).
The TRC's website appears to have been pulled now, but you can download its excellent report from us.
Deputy Editor
We can expect all of the policy groups to be cherry picked by the Labour magpies.
Posted by: bluepatriot | June 21, 2007 at 17:55
"We can expect all of the policy groups to be cherry picked by the Labour magpies.
Which can only be a welcome development for all but the tiny partisan minority.
The aim is to get the best ideas to help Britain into place asap, no?
Posted by: Chelloveck | June 21, 2007 at 18:02
I think it's more complicated than that, Chelloveck. Labour take our ideas, implement them badly and discredit them in the process. They are the cowboy builders of politics.
Posted by: bluepatriot | June 21, 2007 at 18:09
It is good for Britain if Labour "cherry picks" the the best tory policies.
Posted by: 601 | June 21, 2007 at 18:09
Whilst Chelloveck is right, the sooner the ideas are implemented the better, I didn't put a lot of work into the TRC Report so that Gordon Brown could take the credit for it.
Posted by: TaxCutter | June 21, 2007 at 18:13
Now that Paddy Pantsdown has turned Brown down, do you think Gordo might offer Dave a job?
Posted by: richard | June 21, 2007 at 18:39
"Labour take our ideas, implement them badly and discredit them in the process."
But that is not true. Labour's nabbing/development of Major's CTC's is now being held up by the Cameroons as the future of education.
Perhaps this fusion delivers something that neither party can alone.
"I didn't put a lot of work into the TRC Report so that Gordon Brown could take the credit for it.
If you were doing it for the benefit of Britain and not yourself, you would welcome its early introduction.
Posted by: Chell | June 21, 2007 at 18:52
Much as I loathe Labour, its good to see them taking advice. The Tories will simply consider the recommendations whilst Bro9wn will actually try to make them happen. No doubt he will Ed Balls them up, but then hes not going to be the Chancellor in six days time so it aint his problem...as it were.
Posted by: James Maskell | June 21, 2007 at 21:13
The overall question here is competence. The fact is that the ZaNu Labour party are so totally inept and incompetent that they mess up everything they touch.
It shouldn't worry any of the Tories about anything Brown does, as it inevitably goes tits up anyway - that is assuming he's actually being honest, as honesty and Gordon Brown are virtually entire strangers to one another.
Just 'cos McCavity, the man who stole your old age, says he'll do something doesn't mean he will.
Posted by: Stephen Tolkinghorne | June 21, 2007 at 22:49
"The fact is that the ZaNu Labour party are so totally inept and incompetent that they mess up everything they touch."
So Stephen, if that is true, why are the Cameroons holding up this incompetence as the model to be extended in the future?
I think you are falling back on lazy and meaningless 'old politics' spin.
I loathe Labour like Mr Maskell, but the Tories can't have it both ways. That's just plain dishonest.
Posted by: Chelloveck | June 22, 2007 at 06:15
"So Stephen, if that is true, why are the Cameroons holding up this incompetence as the model to be extended in the future?"
I'm not defending the Tories; far from it. What I am saying is that ZaNu Labour are so inept they'll mess up whatever it is that they're trying to do (or claim they're trying to do - a very great difference).
I think you're falling back on believing 'spin' from ZaNu Labour - how very nineties of you.
Posted by: Stephen Tolkinghorne | June 22, 2007 at 13:42