Campaign group says tax bill for main service company could be wiped out under ‘super-deduction’ policy
Amazon could “entirely wipe out” the tax bill of its main UK service company by taking advantage of the chancellor’s £25bn “super-deduction” tax break, according to analysis by a tax fairness campaign group.
The super-deduction, announced by Rishi Sunak in the budget on Wednesday, will allow companies such as Amazon to offset 130% of investment spending on plant and machinery against profits for the next two years, starting next month. The chancellor explained that if a company spent £10m on new equipment, its taxable income would be reduced by £13m.
