Arab Today, arab today zero tax for rbs on massive profits from bond trades
Last Updated : GMT 06:47:24
Arab Today, arab today
Arab Today, arab today

Zero tax for RBS on massive profits from bond trades

Arab Today, arab today

Arab Today, arab today Zero tax for RBS on massive profits from bond trades

Edinburgh - Arabstoday

Royal Bank of Scotland paid zero tax in 2009 on trades similar to the one which this week saw Barclays harshly criticised for tax avoidance. Like Barclays, the state-owned RBS bought back its own bonds in the market in a way that meant it did not have to pay tax on the £3.8bn profits the deals made. At the time, these were not taxable – a loophole closed off by the Government the following year. Such a return would have been taxed at more than £1bn if RBS had paid normal corporation tax at the time, although the bank\'s loss-making status means that would have been far less in practice. The 2009 deals were made just a month after the launch of the Government\'s asset protection scheme, which in effect guaranteed billions of pounds worth of RBS\'s assets with taxpayers\' money. The Treasury this week described Barclays\' use of debt buybacks as being \"highly abusive\" to the tax system. The RBS case is clearly less egregious than that of Barclays because the trades were carried out before the 2010 Banking Code of Practice on Taxation in which banks committed not to engage in tax avoidance. RBS said it bought back the bonds primarily for business rather than tax reasons and points out that it did similar transactions the following year after the loophole was closed, meaning it did pay tax. The Independent began inquiring about British banks\' use of such trades after Barclays yesterday issued a statement claiming others were doing the same thing. Sources at Lloyds Banking Group said it had bought back debt in the market under Project Seaview – the bank\'s codename for the process of buying its way out of the asset protection scheme. However, it paid tax in full. Barclays would not name the professional advisers which guided it on the schemes. Its auditors are PricewaterhouseCoopers. The bank would not comment on seeking redress. John Cryer MP on the Treasury Select Committee told the news agency Bloomberg: \"The reaction of the man and woman in the street who just work and pay their taxes will be incredulity.\" The bank said: \"Barclays takes its responsibilities as a corporate citizen very seriously.\" Barclays admitted it had repurchased some of its debt in a \"tax-efficient manner\", but added: \"This was based on guidance from professional advisers that the treatment was legal and compliant with the tax code, and given that others had used a similar treatment.\" HMRC took a different view and advised the Treasury to close the loophole urgently and retrospectively. City analysts fretted that the revelations could prove damaging to Barclays.  the stockbroker Seymour Pierce warned: \"Over the last few years some investment banking talent has learnt that sailing close to the wind is not always the wisest course to steer, due to the risk of fines and damage to their reputations. Others find it harder to change. Loopholes closed HMRC is shutting off tax dodges. Here are some being closed: 1. Contrive to artificially create a pension surplus, allowing funds to be removed tax-free 2. Avoid PAYE and NI contributions by paying staff through family trust 3. Get Gift Aid by donating to dubious charities in return for shares from a non-UK \"philanthropist\" 4. Avoid property stamp duty by reducing purchase prices, making up the difference with side-payments 5. Buy a yacht with VAT-paid status while actually paying no VAT at all

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today zero tax for rbs on massive profits from bond trades Arab Today, arab today zero tax for rbs on massive profits from bond trades

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today zero tax for rbs on massive profits from bond trades Arab Today, arab today zero tax for rbs on massive profits from bond trades

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today A no-frills business success

GMT 07:00 2017 Wednesday ,20 September

A no-frills business success
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Israel sees benefits in independent Kurdistan

GMT 07:58 2017 Wednesday ,20 September

Israel sees benefits in independent Kurdistan
Arab Today, arab today Saudi Arabia to unblock internet calling apps

GMT 11:31 2017 Wednesday ,20 September

Saudi Arabia to unblock internet calling apps
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Ministry seeks to improve education

GMT 14:49 2017 Sunday ,17 September

Ministry seeks to improve education
Arab Today, arab today New Zealand opposition looks

GMT 10:35 2017 Thursday ,14 September

New Zealand opposition looks
Arab Today, arab today Puerto Rico, Virgin Islands brace

GMT 12:01 2017 Wednesday ,20 September

Puerto Rico, Virgin Islands brace
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Intel chips loaded in Waymo

GMT 14:43 2017 Wednesday ,20 September

Intel chips loaded in Waymo
Arab Today, arab today Five trends at the Frankfurt auto show

GMT 12:04 2017 Monday ,18 September

Five trends at the Frankfurt auto show
Arab Today, arab today Horia Farghaly happy for success of “Case G”

GMT 12:14 2017 Monday ,18 September

Horia Farghaly happy for success of “Case G”
Arab Today, arab today France hopeful of persuading Trump

GMT 06:21 2017 Wednesday ,20 September

France hopeful of persuading Trump

GMT 06:31 2017 Saturday ,16 September

Eman Al Assy receives three offers

GMT 05:05 2017 Tuesday ,12 September

Pregnant woman's suicide roils China

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 19:18 2017 Monday ,18 September

5,000 'Dieselgate' deaths in Europe per year

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 04:26 2017 Wednesday ,20 September

Opioid overdose deaths take 2.5 months

GMT 11:40 2017 Monday ,18 September

Russia and Iraq restore air travel

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 12:56 2017 Friday ,15 September

Apple's grand plan in Ireland held up by a forest

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday