Mobile phone giant Vodafone is under pressure again after it emerged it did not pay any corporation tax in the UK last year.
The company was able to reduce its CT liabilities by off-setting the bill against its capital expenditure, which rose from £516m to £575m, through investment in improving its network and interest costs.
According to a Sunday Times investigation into the company accounts, its global corporation tax bill went up by £300m to £2.3bn, but its British corporation tax bill fell from £140m in the year to 31 March 2011 to zero, despite an increase in underlying earnings before interest and tax at its UK operation from £1.2bn to £1.3bn.
About Robert Lovell
Business and finance journalist