UK's corporate
tax regime has come under scrutiny after another FTSE100 firm has announced it is considering switching its corporate HQ abroad.
Sir Martin Sorrel, head of WPP, told the BBC on Monday that new proposals put forward by the treasury to
tax dividends earned by companies overseas could tip the balance in favour of relocating the firm's tax residence to a country which does not tax such income.
He explained that WPP, the world's second largest advertising firm, could pay "significant sums of money" - up to tens of millions more pounds on their annual
tax bill in the UK.
Speaking about the possibility of relocating its tax HQ, Mr Sorrel said: "If the measures as is are introduced, ratified, confirmed and implemented, we will be taking a very serious look at the advantages and disadvantages."
A recent Confederation of British Industry taskforce has called for the headline rate of corporation tax to be reduced from 28 per cent to 18 per cent over the next eight years as a way to simplify the way tax is calculated.
Show me Treasury jobs
© Adfero Ltd