UK Energy Provider Loses Legal Fight To Deduct Customer Payouts (1)

UK high court judges ruled against Scottish Power Ltd in a case about whether £28 million ($35.17 million) spent by the company on customer compensation was deductible for corporation tax.

Energy provider Scottish Power appealed the tax office’s revised assessment over the customer settlements for mis-selling information on products and other complaints between 2013 and 2016. The company argued that the lower court First Tier Tribunal (FTT), which had ruled that most of the settlement payments were non-deductible, erred in its application of the law, according to a Tuesday judgment.

Scottish Power’s grounds for appeal argued that the ...