McLaren have successfully argued in Britain that a 32-million-pound (now $50 million) fine they paid after a 2007 Ferrari spying controversy should be tax deductible.
Yeongam, South Korea: McLaren have successfully argued in Britain that a 32-million-pound (now $50 million) fine they paid after a 2007 Ferrari spying controversy should be tax deductible.
Story first published on: Friday, 12 October 2012 19:44
The fine was imposed by Formula One's governing body, the FIA, after a dossier of Ferrari data was found in the possession of the McLaren team's then-chief designer Mike Coughlan.
McLaren argued that the fine was "connected" with their trade and should be exempt from corporation tax.
A spokesman for the Britain-based team said in South Korea, where the next race is held on Sunday: "McLaren Group is a successful UK company which provides high-quality employment and substantial tax revenue.
"In 2007, McLaren Racing Ltd was required to pay a penalty, following a breach of the International Sporting Code of the FIA.
"After consideration, a Government tribunal has found that such a contractual penalty is tax-deductible. As a UK-registered company, McLaren will continue to comply with all relevant legislation."