Tuesday, November 02, 2010

HMRC issues statement about Vodafone's tax position

In an unusual move, HMRC has issued the following statement in response to claims in the media about the company's tax liability following a tax settlement for £1.25 billion in August.
We cannot comment on the detail of the settlement but we can confirm that it was reached by HMRC following a rigorous examination of the facts and an intensive process of negotiation that tested the arguments of both parties.

As a result it was agreed that Vodafone’s liability was £1.25 billion and at no point was a liability greater than that established. There is no question of Vodafone having an outstanding tax liability of £6 billion. That number is an urban myth.
Vodafone gave permission for HMRC to comment on their tax affairs which would normally be subject to taxpayer confidentiality.
Would Johann Hari now like to apologise to Vodafone for reporting a falsehood as truth?

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