Quote:
Originally Posted by Hugh
Didn’t say that - I said the companies (and it was mainly institutions that held the vast majority of shares) would be able to write off those losses against tax.
But you knew that, and decided to mischaracterise my comments.
(FYI, I worked in the Telecomms industry at that time, for Cable Companies and BT Cellnet (as was)).
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They still make losses from it. The tax adjustments mitigate against losses, they don't eliminate them.
Simple example: £100m profit with 20% tax = £20m to pay leaving £80m gain. Instead suffer £50m losses leads to £50m profit = £10m tax paid leaving £40m gain, rather than the £30m gain if the losses weren't allowed against tax.