A number of constituents have contacted me about large companies paying corporation tax.
I absolutely agree that companies like Amazon which makes vast profits out of trading in the UK should pay more tax here, and can confirm that this was an issue raised by MPs in a recent meeting I attended with Treasury Ministers.
The Government is reviewing the taxation of the digital companies, to make sure all businesses pay their fair share. The UK government is leading international efforts to reform the international rules around where profit is made and where it should be taxed.
Pending this global reform the Government is exploring potential interim measures, such as a tax on the revenue of certain digital business. Additional this country has led the way through tough new rules to crack down on multinationals shifting their profits to lower tax jurisdictions. Around £8 billion has been returned by cracking down on large multinational enterprises that are avoiding paying the right amount of tax in the UK. The Diverted Profits Tax has been introduced at a rate of 25 per cent on multinationals that artificially divert profits out of the UK.
I appreciate there is work to be done, but this country has made good steps to ensuring businesses pay their fair share and continues to lead international efforts to reform the international rules.