I’ve been thinking about the targets which NGOs choose in their tax campaigns in the light of the BEPS project.
The two main targets have been SAB Miller and ABF. Looking at their accounts, I find this a little odd. Associated British Foods (ABF) has a tax rate of 24.8% with a benefit for rates lower than the UK rate of £19m on a total charge of £178m ( ie reducing its tax rate by 10% from 27.5%). SABMiller has a tax rate of 27.5%.
Now there are plenty of examples of companies with tax rates significantly lower than their blended tax rate so why don’t the NGOs focus on these companies?
Why is there so little coverage of US outbound tax planning despite the outcry from the Public Accounts Committee in the UK?
So my question is why is their such a UK centric focus? If the concern is with Africa, which tax planning reduces African tax receipts the most and why don’t NGOs focus on this?