A super tax for energy investors

Public interest business protection tax is designed to act as a deterrent for large companies looking to monetise valuable assets that may cause energy supply companies to fail. Christy Wilson, associate at Katten Muchin Rosenman UK LLP, explains

The government has introduced a tax called the public interest business protection tax (PIBPT) which starts from 28 January 2022 until 28 January 2023. PIBPT means that investors in public interest companies could face a tax of 75%.

This is a tax on the profits that arise where a business undertakes arrangements that realise valuable assets for its own benefit and shareholder benefit, and as a result accelerate the collapse of a public interest business.

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