Thursday, 8 December 2016

McDonalds moving non-US business to UK

McDonalds is moving its tax domicile from Luxembourg to London under a new holding company that will manage its non-US licensing deals.

This week the EU Commission launched a formal investigation into a tax deal between the Luxembourg government and McDonalds which allows the company to pay an effective corporation tax rate of 0%. The Commission has already decided they're guilty, they're just looking for the "evidence" to justify the fines that they'll want to impose.

When the EU Commission is in open economic warfare with the US it's hardly surprising that the American companies the EU is targeting want to escape their jurisdiction.