<p>It would probably be best if I started with a statement of my belief. This is that, when inflation reaches anything like 10 percent p.a., it becomes essential to find ways of measuring companies' real profits and that it is these 'real' profits (however defined) which should form the basis of such matters as pricing policy, dividend distributions, and taxation. In this paper, I shall be looking at the extent to which the corporation tax system in the UK assesses real profits rather than paper profits and will try to suggest ways in which the system might be improved.</p>
Authors
![Person graphic](/sites/default/files/styles/square_desktop/public/2022-06/IFS-person-graphic.png?itok=hWCtTSrz)
Martin Gibbs
Journal article details
- DOI
- 10.1111/j.1475-5890.1979.tb00443.x
- ISSN
- Print: 0143-5671 Online: 1475-5890
- Issue
- November 1979
Suggested citation
Gibbs, M. (1979). 'Inflation Accounting and Company Taxation' (1979)
More from IFS
Understand this issue
![Christine Farquharson](/sites/default/files/styles/square_desktop/public/2024-07/Christine%20early%20years.jpg?itok=SRfpSwOQ)
Childcare and the early years: what are the new entitlements and how will they be delivered?
explainer
IFS Associate Director Christine Farquharson explains.
1 July 2024
![Edge of rural town](/sites/default/files/styles/square_desktop/public/2024-07/levelling%20up%20feature.jpg?itok=HJBdqLuW)
Levelling up: it’s time to step up
comment
The gap in employment rates between the best- and worst-performing areas is at its widest since 2005, says Christine Farquharson.
30 June 2024
![Christine Farquharson](/sites/default/files/styles/square_desktop/public/2024-07/christine%20levelling%20up.jpg?itok=PrW344C_)
What is ‘levelling up’ and how much progress has been made?
explainer
IFS Associate Director Christine Farquharson explains.
29 June 2024
Policy analysis
![Welsh town with mountains behind](/sites/default/files/styles/square_desktop/public/2024-06/Welsh-town-feature.jpg?itok=5axb5wZn)
How would the parties’ tax and spending plans affect Scotland and Wales?
report
This ‘explainer’ looks at how the parties’ proposals would affect Scotland and Wales, covering tax, spending, public finances and the constitution.
28 June 2024
![Breakfast club](/sites/default/files/styles/square_desktop/public/2024-06/Breakfast-club.jpg?itok=dEyGgrwT)
Free breakfast clubs in schools: what Labour’s plans would mean for pupils and families
comment
Labour’s manifesto promises free breakfast clubs in all primary schools. This comment examines possible benefits and challenges with the policy.
25 June 2024
![Polling station](/sites/default/files/styles/square_desktop/public/2024-06/Polling-station-school.jpg?itok=uS-l6b-1)
What are the parties’ plans for benefits and taxes?
calculator
Use our simple interactive tool to see how the parties’ plans for benefits and taxes would impact household incomes over the next five years.
24 June 2024
Academic research
![Fiscal Studies - 2024 - June cover](/sites/default/files/styles/portrait/public/2024-06/Fiscal%20Studies%20-%202024%20-%20-%20June%20cover.jpg?itok=mQEwRc_w)
Fiscal Studies: Volume 45, Issue 2
journal issue
Fiscal Studies: Volume 45, Issue 2
28 June 2024
![Fiscal Studies - 2024 - June cover](/sites/default/files/styles/portrait/public/2024-06/Fiscal%20Studies%20-%202024%20-%20-%20June%20cover.jpg?itok=mQEwRc_w)
Income inequality in Ireland, 1987–2019
journal article
This paper highlights an aspect of the Irish experience that does stand out as quite remarkable.
28 June 2024
![Fiscal Studies - 2024 - June cover](/sites/default/files/styles/portrait/public/2024-06/Fiscal%20Studies%20-%202024%20-%20-%20June%20cover.jpg?itok=mQEwRc_w)
Inequality in Denmark, 1987–2021
journal article
We investigate the progression of income inequality in Denmark over the years 1987–2021.
28 June 2024