Isle of Man drops tax to 0%

Given the pressure building for a harmonisation between Northern Ireland’s and the Republic’s rate of Corporation Tax, it seems the Isle of Man intends to stay ahead of the game by offering an inducement to one major IT firm of a 0% percentage rating! Thanks for the heads up Cormac!!

  • Stephen Copeland

    From the article: “Because the Isle of Man is not part of the UK, but is a self-governing crown dependency, it is able to make its own laws.

    An idea for Northern Ireland?

    Also, the IOM is not a member of the EU, so is not governed by its tax harmonising regulations.

  • Pete Baker

    Not sure it can be linked into that debate successfully Mick, as the article points out –

    Because the Isle of Man is not part of the UK, but is a self-governing crown dependency, it is able to make its own laws.

    Of course NI could go the same route.. but we’d still have to have an operating government..

  • Stephen Copeland

    Mick,

    Your intro is mistaken. From From 6 April 2006, the standard rate of income tax for all companies in the Isle of Man will be 0% (“the standard rate”), with two small exceptions.

    Details here.

  • slug

    In the end companies do not pay taxes, people pay taxes. There is a danger of placing over-emphasis on company tax, we forget that if income tax is higher, or if the VAT on goods is higher, or if rates are higher, or if there are more charges on healthcare etc, then that adds to the cost of remunerating employees to a given standard of consumption.

  • Crataegus

    Stephen

    (a self-governing crown dependency)An idea for Northern Ireland?

    Definitely worth looking at. We need a bit of flexibility and rid of Hain, Rooker & Co. Just listening to budget and need to build houses, invest in new energy etc. How can we here with the decisions being made!?!?!?

  • Brian Boru

    Of course EU law would probably prevent countries introducing that sort of corpo-tax rate. Estonia I understand already had 0% before it joined the EU.

  • Yokel

    The North doesnt need special measures, it needs a populous prepared to get up of their arse and make it happen economically..in short take responsibility for their own lives and own successes. Always look for subsidy..always looking for support above the ordinary…its pathetic

    Hain will go soon enough..and some of his pushing and shoving measures will be reversed..Blair is desperate to get his defining moment before he goes and they’ve chosen here as the subject to do it. Once he goes so will much of the current coercion approach.

  • urquhart

    Yokel, you said:

    “The North doesnt need special measures, it needs a populous prepared to get up of their arse and make it happen economically..in short take responsibility for their own lives and own successes. Always look for subsidy..always looking for support above the ordinary…its pathetic”

    Well said. Had the PEACE I & II money, and the many millions in other slush funds been used to fund real economic incentives, we’d be in a whole different place. But alas, the bleeding hearts who run this show have their heads up their backsides and all the money’s gone.