IoD: Govt needs to reduce corporation tax

Date: 2nd December 2010

Small businesses operating in a wide variety of sectors across the UK could be among those interested in the recent comments of one leading industry body regarding corporation tax.

The Institute of Directors (IoD) has claimed that the government's recent announcements regarding the tax do not go far enough.

While welcoming the changes and saying that they will be good for the UK, the organisation has claimed that more needs to be done to attract further investment to the country.

Richard Baron, head of taxation at the IoD, said that the recent announcement has still not put the UK "ahead of the pack".

"The main thing is to get the corporation tax way down," he commented.

"Twenty-four per cent is nice, it's better than where we are now, but if you look at competitive countries like the OECD countries, we would be now about two thirds of our way down the list."

Posted by Jacob Williams