Finance Act 1970

tforster100

What happened to section 42 of the Finance Act 1970? It prevented UK based companies from relocating to lowewr tax regimes for the sake of saving corporate tax. There was a jail penalty for Company Secretaries of those caught doing it.

Now, many Lloyd's and other underwiters have their companies based in the likes of bermuda (John Charman's Axis - then Endurance - and Amlin, Hiscox and loads of others are examples).

dtaylor84

There does not appear to be (nor to have ever been) a section 42 of the Finance Act 1970:

http://www.legislation.gov.uk/ukpga/1970/24/contents/enacted

agrinnall

It may have been in the Bill as introduced but that version doesn't appear to be available online so we may never know whether the section existed or not. I see the Act became law before Labour were voted out in 1970 so presumably it wasn't a case of the Tories doing favours for their pals.

Dead_keen

Do you mean the old Treasury Consent regime? It got abolished in FA 2009

kidmugsy

Dead_keen wrote: »

Do you mean the old Treasury Consent regime? It got abolished in FA 2009

… presumably it was a case of Labour doing favours for their pals.

zygurat789

kidmugsy wrote: »

… presumably it was a case of Labour doing favours for their pals.

Surely this is something the Tories, not labour would do. They're both political parties and as bad as each other.

antrobus

zygurat789 wrote: »

Surely this is something the Tories, not labour would do. They're both political parties and as bad as each other.

If they're "both political parties and as bad as each other" why do you find it so hard to believe that the Finance Act 2009 was indeed the work of the Labour government?

zygurat789

antrobus wrote: »

If they're "both political parties and as bad as each other" why do you find it so hard to believe that the Finance Act 2009 was indeed the work of the Labour government?

Why don't you ask whoever said I did?