The UK Inland Revenue now says that use of videoconferencing could lead a UK company to pay double tax. The Revenue Statement of Practice 1/90 indicates that the location of a company’s board meeting is a factor in determining domicile for tax liability, though it isn’t the only factor and the tax gatherer said these are new waters and ultimately would be tested in a court. Each case would have to be reviewed individually. Originally the Revenue Men said location of a board meeting did not affect taxation, which dependeded on where the firm is incorporated and where the deeds are held.
