AIMA highlights importance of competitive taxation regime to competitiveness of UK as a global asset management centre

In response to the UK Treasury on the tax treatment of carried interest, AIMA made the following points:

• An unfavourable taxation regime will weaken the UK as an asset management centre and its ability to obtain international investment for the broader UK economy.
• A tax regime which imposes requirements that do not recognise the realities of common fund structures is unlikely to succeed.
• Any changes to the treatment of carried interest should be principles-based, easy to implement and apply consistently across different funds or strategies.
   

Commenting on the submission, AIMA CEO Jack Inglis said:

"Private credit is a vital constituent part of the private investment that the UK Government wants to encourage. An unfavourable taxation regime will weaken the UK as an asset management centre and undermine its attractiveness as a destination for investment. 

It is welcome that the Government recognises competitiveness as a central consideration as it consults on the treatment of carried interest.  AIMA will continue to highlight the investment our members make in the UK economy in our engagement with the UK Government."