The Finance & Leasing Association (FLA) has published a report that highlights the economic impact of the government’s corporation tax proposals. The report, by the independent economics consultancy Oxford Economic Forecasting (OEF), specifically looks at the Treasury and Inland Revenue’s proposal for the treatment of finance leases as part of their current review of corporation tax.
Martin Hall, director general of the FLA, said: “This valuable research demonstrates that any ill-considered changes in the tax treatment of asset finance would do considerable damage to the UK economy, not least to capital investment by SMEs and in infrastructure. The FLA is working with the Inland Revenue and private sector colleagues to achieve a more rational tax system.”
Key findings of the report include:
Less leasing, less investment
