George Osborne has announced a 25% levy on profits made in the UK by multi-national companies but diverted elsewhere.
Dubbed the 'Google tax' because of the tech giant's use of elaborate tax avoidance schemes to dodge payments, its official name will be the Diverted Profits Tax. "We have low taxes but they will be paid," the Chancellor said. The tax will be applied if the companies would otherwise move the money out of the country to avoid paying UK tax.
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