Hmrc Wins Tax Avoidance Case Against Ladbrokes

Involves GBP 54 million

HM Revenue and Customs has won a tax avoidance case in a British court against Ladbrokes involving GBP 54 million.
The First-tier Tribunal ruling means Ladbrokes cannot reclaim GBP 54 million in tax," HMRC said. "Another three similar cases are worth GBP 112 million of tax."
According to HMRC, the tax avoidance scheme, which was promoted by accountancy firm Deloitte in 2008, exploited a loophole that was closed in the same year. The relevant legislation was strengthened in 2009.
The scheme involved two Ladbrokes Group companies, Ladbrokes International and Travel Document. An "artificially manufactured" fall in the share value of one company created a loss in the other company for tax purposes, however the group suffered no real economic loss.
"Avoidance just doesn't pay — we win around 80 percent of cases taxpayers choose to litigate and many more concede before litigation," HMRC's Director General of Business Tax, Jim Harra, said. "We will uncover the avoidance schemes and contrived structures designed to minimise tax and we will challenge them."
Ladbrokes said it will study the ruling and consider its options on appealing the judgement.

Online Casino News Courtesy of Infopowa

About the Author... Total Posts Written: 9,449
Casinomeister

Casinomeister

The man with the plan here at Casinomeister. Bryan Bailey has been running Casinomeister since its launch in June of 1998. He has watched the industry grow from its primeval stage to what it is now. The Meister has attended nearly 100 conferences in the past 20 years and has either been a speaker or a panel moderator for at least 60 events. He has always been an advocate of fairness and reason and is known to like German beer, a good Scotch, and astrophography.
bryan@casinomeister.com

See More Posts