CORPORATE TAX CONTRIBUTION NOT FALLING: HOLD THE FRONT PAGE
What’s the biggest tax surprise in Plucking the geese?
For readers, fixated by rows about corporation tax/corporate income taxes it’s this: Taxes on profits are NOT companies’ most significant tax contributions.
According to PwC the average global company pays 43.1% of its commercial profits in Tax:
- 16.3% in taxes on labour
- 16.1% on profit related taxes
- 10.7% on other taxes (e.g. property taxes, stamp duty etc).
So why don’t more companies follow Rio Tinto’s and publish their total tax bill?
I don’t know. As we say in the north of England: “It beats the band”.