ICAEW outlines stance on green taxes

News Article - 24 September 2007
Category: Environment

The Institute of Chartered Accounts in England and Wales (ICAEW) has stated that taxes should only be defined as 'green' if they reduce pollution.

Speaking at a meeting at the Liberal Democrats Conference in Brighton, Michael Izza, chief executive of the ICAEW, said that a green tax ought to either generate revenue to be spent on reducing pollution or tax an environmentally-unfriendly action.

"If its aim is purely to raise revenue, but it does not effectively reduce carbon emissions, then we do not think that the tax amounts to a green tax and that the public perception of the tax will be compromised," Mr Izza argued.

A green tax may not generate a great deal of revenue, but can reduce pollution and influence behaviour through its implementation, he added.

Peter Penneycard, tax partner at accountancy firm PKF, recently said that the government should provide more tax breaks to encourage private investment in environmental technologies, the Herald reports.

Article keywords:

---

More industry news

• Think tank warns UK may have already slipped back into recession
• Growing demand for HR staff in technology and international sectors
• Boosting business growth a ‘priority’ to avoid Eurozone slowdown
• HMRC launches alternative disputes pilot scheme this week
• December employment statistics disregard gloomy recruitment predictions
• Eurozone manufacturing PMI shows modest improvement
• UK scores highly for economic governance by ratings agency
• Government launches two-year project focusing on manufacturing sector
• Burden of regulation on UK businesses ‘too high’

Back to news home page »