Barclays Investigated By German Tax Authorities

Barclays PLC (NYSE:BCS) (LON:BARC)  is under investigation by Germany’s tax authorities over the use of ‘dividend stripping’ strategy for alleged tax avoidance. According to German daily Sueddeutsche Zeitung, Barclays PLC (NYSE:BCS) (LON:BARC) avoided taxes up to €280 million  ($367 million/£238 million) per year for 10 years, until 2012 by adopting ‘dividend stripping’ strategy. The ‘dividend stripping’ strategy involves purchase and naked short-selling of certain shares before and after the dividend payout dates. According to the Germany daily, the strategy has also been used by other banks. Dividend Stripping Was Lawful Dividend stripping strategy had been lawful in Germany before the…