§ 41. Mr. BaldryTo ask the Chancellor ot the Exchequer if he will make a statement on levels of corporation tax in(a) the United Kingdom and (b) in the United Kingdom's major international competitors.
§ Mr. Norman LamontInternational comparisons of the levels of corporation tax are difficult to make because of the variations in tax structures and the different rules for measuring profits. The table sets out the top corporation tax rate for the United Kingdom and a number of other countries.
Top Corporation Tax Rate Percentage United Kingdom 35 Australia 39 Belgium 43 Canada 28 Denmark 50 France 42 Germany 56 Greece 49 Ireland 47 Italy 36 Japan 42 Luxembourg 36 Netherlands 42 Portugal 35 Spain 35 United States 34 Notes:
1. Some of these countries have lower rates or special reliefs for 358W companies with profits below certain levels.
2. There are also local or additional company taxes in some of these countries and some have different rates for distributed profits. Some countries have lower rates for particular types of company.
3. The rates shown are those currently in force. Lower rates are proposed in Belgium, France, Germany, Greece, Luxembourg and the Netherlands.