The UK Office of Tax Simplification (OTS) has issued a discussion paper for consultation on a look-through basis of taxation for small companies. The paper seeks input on five main issues:
- Who would look-through apply to (or be available for); is it possible to define easily the affected taxpayers?
- How would it apply: how would profits be allocated to proprietors?
- What tax consequences ensue: how would the tax be collected?
- Would this be an optional, default or compulsory system?
- Overall, wo…