Question About Corporation Tax Rumour

Can someone please read this and tell me if it's true? I can't seem to find anything else about it.
http://www.guardian.co.uk/commentisfree/2011/feb/07/tax-city-heist-of-century

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saying:

century
Did you follow the link at the bottom of the article to the "fully referenced version" on Monbiot's site?
I remember the "reductions" which took corporation tax from 10% above ten grand to 19% on everything...
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On 08/02/2011 19:13, Adrian wrote:

Yes, just got there (the link). I'm a numpty about this things, but I'm doing my best. :)
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I read it too but can't find anything else other than that article else I would have posted something.
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On 08/02/2011 19:19, alang wrote:

Here is the outline of options if you are interested
http://www.hm-treasury.gov.uk/d/corporate_tax_reform_part3b_foreign_branch_taxation.pdf
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I'm in the middle of decorating ATM so only time for a quick skim but it looks like Monbiot is correct again
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He's made a mess of it.
He says the UK will have the lowest rate of corporation tax in the developed west by 2014, then complains that companies based here will have an incentive to shift "business" (whatever that means for tax purposes) "into nations with lower corporate tax rates".
Ergo they'll have an incentive to repatriate business to the UK.
"The new rules also threaten to degrade the tax base everywhere, as companies with headquarters in other countries will demand similar measures from their own governments."
How dare they demand lower taxes on production, leading to cheaper goods and services for the consumer.
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saying:

Only if you ignore that little caveat...
Ireland's corporation tax rate is currently 12.5%. Ireland clearly doesn't count as "developed west".
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gurgled happily, sounding much like they were

Is a call centre a profit centre or a cost centre?
I'm not yet convinced this is worth a hoo-hah.
i.e. if you offshore your call centre, where is the taxable transaction done? I'm dubious it's done offshore.
I want more detail...
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On 08/02/2011 22:41, Adrian wrote:

If you mention Ireland, people just laugh because they think the low CT is what busted Ireland.
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re

Or you could try the Economic and Monetary Union. The low interest rates on the euro caused an unsustainable construction boom, and when it came to an end, construction companies went bankrupt, people became unemployed, many were not able to pay their mortgage nor sell their property and thus banks suffered massive losses and had to be bailed out.
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On 08/02/2011 22:22, DVH wrote:

There are people posting on the Telegraph site that what it actually means is that foreign corporations will be able to have branches here and not have to pay any tax here at all. People seem to believe it - they seem to believe anything anyone says as long as it has 'Tory ****' in there somewhere.

I read a bit of the treasury document (really short of time at the mo), and what he actually wants to do is follow on from Labour, who did the same thing with foreign-earned dividends by making them exempt from CT in the UK. What I don't get is why the 'Tory' press is not reporting it - or perhaps they are and I just haven't seen it. Surely an end to double taxation is a good thing. It's in here anyway
http://www.hm-treasury.gov.uk/d/corporate_tax_reform_part3b_foreign_branch_taxation.pdf
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That doesn't sound likely, though I suppose it's possible.

http://www.hm-treasury.gov.uk/d/corporate_tax_reform_part3b_foreign_branch_taxation.pdf
I haven't got round to this yet. I'm hoping somebody else will condense it for me!
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DVH wrote:

Foxes telling the farmer how to build his henhouse.
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and

More likely same (or higher) prices and greater profits......
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