Lloyds accused of avoiding tax to artificially boost profits - papers

clock

A former employee of Lloyds Banking Group has accused the bank of artificially inflating its profits by almost £1bn through the use of aggressive tax-avoidance schemes and exotic "Lehman- style" offshore deals which he said amounted to false accounting.

The former senior tax manager at the bank told an employment tribunal Lloyds was involved in running battles with Revenue & Customs after it embarked on a hostile relationship with the tax authority over multimillion-pound corporation tax bills while involved in extensive manipulation of the way it accounted for unpaid taxes, The Guardian reports. Between 2005 and 2007, he said, the bank insisted that finance staff devise ever more elaborate ways to depress a growing tax bill, many of them involving the now collapsed Lehman Brothers and the discredited financial products division of AIG,...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Your profession

Do you really think the young are bypassing advice by choice?

Do you really think the young are bypassing advice by choice?

We could use a bit more empathy when it comes to future clients

Hope Coumbe
clock 20 May 2024 • 4 min read
Industry calls for an interest rate drop of 5% from Bank of England

Industry calls for an interest rate drop of 5% from Bank of England

The monetary policy committee will have its next meeting on 20 June

Hope Coumbe
clock 20 May 2024 • 1 min read
Property inheritance figures paint bleak tax picture for millennials

Property inheritance figures paint bleak tax picture for millennials

Millennials on course for an ‘inheritance tax bombshell’

Sahar Nazir
clock 20 May 2024 • 2 min read