Archive for the ‘tax’ Category

How the tax man treats small businesses

April 13, 2016

There warts and all: the warts being my handwriting; all – being my generous donation to HMRC. I actually paid more tax than some companies owned by people that he might know quite well. — Jeremy Corbyn

Today we had infantile comments from Dodgy Dave Cameron relating to Jeremy Corbyn being fined £100 for late tax returns.

Easily done, many do.

Were Google fined for being six years late in paying their tax?

Cameron is totally out of touch with reality. He fails to comprehend  the anger of ordinary people and small businesses, who work hard and pay their taxes.

From The Independent

Following the Panama Papers scandal and Cameron’s subsequent bungled reaction, we saw hundreds protest outside Downing Street calling for the PM’s resignation. Meanwhile, the right-wing media attempted to bite back: the Metro ran a front-page headline on ‘Corbyn the tax dodger’ (referring to the fact that Corbyn paid a £100 fee for filing his tax return five days late, rather than avoiding any tax at all.) The Telegraph ran a story accusing Corbyn of receiving £3 million from the state, also known as his salary for his 33 years’ work as a Member of Parliament. The Sun even tried to suggest that the Labour leader had purposely failed to reveal earnings from a lecture he once delivered. The truth was a little different – as it turns out, Jeremy Corbyn actually paid more tax than he should have.

I mentioned this today to a restaurant owner.

He told me of how he was treated when he was late paying his tax. An oversight not an attempt not to pay.

A visit by an angry tax man, who wanted to strip the restaurant.

He wanted to take the paintings off the wall, which he assumed to be of value. They are, but do not belong to the restaurant, they are on loan.

Then he wanted to take the bottles of wine in a rack by the wall. Not wine, bottles of water. For show. No self-respecting restaurant would store wine where it was warm.

The tax man was asked, as there was a delay in paying the tax due to an oversight, why did he not send a reminder?

The response was he did not have to.

The tax man was told go and harass Starbucks.

Google tax deal rapidly unravels

January 29, 2016

A tale of two taxes.

Top investor turns on Google over tax 'sham' - Times 28 January 2016

Top investor turns on Google over tax ‘sham’ – Times 28 January 2016

Google tax scam

Google tax scam

Google tax scam

Google tax scam

Last week we had the unpleasant spectacle of a smug George Osborne at Davos bragging of the amazing tax deal he had negotiated with Google.

Since Davos, a tax deal that has rapidly unravelled.

A tax deal so amazing, it was jaw dropping. Following a six year investigation of Google by the tax authority HMRC (cost of investigation, details of investigation, unknown), Google was to ‘voluntarily’ pay £130 million in tax, for a period covering ten years. This works out at a jaw dropping tax rate of somewhere around 2 to 3 percent.

A good deal for Google, a very poor deal for long suffering taxpayers, who would be only too happy to negotiate with HMRC a tax rate of 2.5%.

The current rate of corporation tax is 20%. Osborne wishes to lower to 18%.

The lax tax regime means corporations have amassed a massive £750 billion cash pile, dividends are at a record high. There is very little investment, as the corporations are risk averse, and see no future prospects.

Earlier in the week, Osborne was called by John McDonnell to appear before the House of Commons to explain himself.  He lacked the courtesy to turn up, instead sending a clueless junior minster.

On Wednesday, Jeremy Corbyn wiped the floor with David Cameron, who unable to explain the tax deal, shouted infantile insults. Of what relevance the tax under the last Labour government? We know Alistair Darling was as useless as George Osborne.

The list of those challenging this tax deal grows by the day.

Rupert Murdoch, himself a serial tax dodger, has attacked the deal.

Mayor of London Boris Johnson has attacked the deal.

James Anderson,  major investor in Google, has attacked the deal.

A German Green MEP has attacked the deal.

The European Commission has said that if they receive a complaint they will launch an investigation.

In Italy, in France, Google pay a higher rate of tax.

On buying goods and service, people pay 17.5% VAT.

People pay higher personal income tax.

The HMRC investigation into Google should be published.

The tax returns of Google should be published, as should of any company with a turnover in excess of a million pounds.

The tax returns of Members of the House of Commons (and of the Lords) should be published.

In parallel with the Google tax scam unravelling, two people won their Appeal at the Court of Appeal against paying Bedroom Tax on Human Rights grounds. One a lady who has a secure room to which she can retreat if in danger of being attacked, the other a disabled man who looks after his severely disabled grandson. What can only be described as evil, the government is to appeal the decision to the Supreme Court. What can only be described as bizarre, their statement that the Appeal Court contradicted the ruling of the High Court. Not true, as a superior court, the Appeal Court overruled the Supreme Court.

People, who could do without the stress, are to be put through more stress by the Evil Doers.

The number of people this ruling will effect, is small. It will probably cost more in legal fees.

The government points out the disabled man receives a discretionary payment, thus does not have to pay the Bedroom Tax. This entirely misses the point. He should not be forced to claim, and if discretionary, could be terminated at any time.

It was not ordinary people who caused the banking crash in 2008, that took down the economy. It was the criminal activity of bankers and lax banking regulation. And yet, not a single banker is in prison. The banks were bailed out, the bankers draw their obscene bonuses.

Austerity is a political choice, it is an excuse for Shock Doctrine, slash and burn of public services, cuts to libraries, benefits, an excuse to transfer wealth from the poor to the rich.

The Bedroom Tax is a tax on the poor.

If we need a Bedroom Tax, then levy on those with more than five bedrooms and a household income in excess of £100,000.

It is not the just the tax dodging and avoidance. We have, as Mariana Mazzucato   highlighted on Channel 4 News last night, companies like Google holding meetings with ministers to determine tax policy.

Senior Tories met Google chiefs twenty-five times in run-up to their  shameful tax deal.

Please sign the petition calling upon the European  Commissioner Margrethe Vestager to investigate the Google tax scam.

Google ‘voluntarily’ pay £130 million ‘tax’

January 24, 2016

For small businesses and ordinary people, tax is compulsory, for tax dodging corporations like Vodafone, Starbucks, Facebook and Google, it is voluntary.

Google tax dodging

Google tax dodging

It’s unbelievable that big companies like Google ‘negotiate’ the amount of tax they pay. They should be told how much to pay, and made to pay up. Like everyone else. — UK Uncut

A smug George Osborne at Davos said Goggle only paying £130 million tax showed the success of his tax policies.

If an individual or a small business fail to pay tax, they will be prosecuted, forced to pay the tax owed. A small businesses may be forced into bankruptcy by the tax authorises to recover unpaid tax, may face a prison sentence.

One rule for ordinary people, small businesses another rule for the wealthy and global corporations.

From the viewpoint of George Osborne, it is a major success of his tax policy, aiding and abetting the rich and greedy corporations to dodge tax.

HMRC staff who aided and abetted, should be prosecuted for misconduct in public office, a criminal offence that attracts a prison sentence.

A six year investigation into the tax affairs of Google. How much did it cost, has it been published?

And the result, Google ‘voluntarily’ pay £130 million ‘tax’ for ten years of tax dodging.

For small businesses and ordinary people, tax is compulsory, for tax dodging corporations like Vodafone, Starbucks, Facebook and Google, it is voluntary.

Tax credits a bad policy

October 25, 2015

Tax credits do not subsidise workers they subsidise bad employers. If their business model relies on paying poverty wages then they should be driven out of business.

We eliminate tax credits, by paying higher wages, by creating high paid, skilled jobs.

We eliminate tax credits by, as outlined by former Greek finance minister Yanis Varoufakis, using a People’s Quantitative Easing to create the cool breeze of green technology, by financing apps that create a sharing, collaborative economy, not the failed Quantitative Easing of the Tories, a mechanism to transfer more wealth to the rich, and in doing so, create piles of dead money.

The policy of the corrupt elite is to drive down wages to that of China and India.

The Tories want to cut tax credits by £4.2 billion. That is £4.2 billion taken out of the pockets of the working poor.

It was not the poor who caused the financial crash of 2008, it was the greedy bankers, greedy bankers who finance the Tory Party, but it is the poor, who can least afford it, who are being forced to pay the price.

Liar David Cameron said before the last election, they would not cut tax credits.

Bully-boy David Cameron is intimidating the House of Lords not to vote against tax credits. Even threatening to swamp the Lords with yet more of his cronies.

Apart from waging Class Warfare, why are the Tories so eager to cut tax credits? Simple, more money available, £4.2 billion, to cut taxes for the rich and corporation tax.

It is nonsense to suggest a constitutional crisis is pending, for the simple reason we lack a constitution.

Equally to claim support of the House of Commons. It is not support when you have to force MPs to vote with you. Neither can it be claimed support in the country. Tories had minority electoral support, and with the election of Jeremy Corbyn as Opposition Leader, what little support there is is draining away by the day.

If the only role of the Lords is to rubber-stamp what is sent from the Commons, then what role the Lords? This would be yet further grounds for abolition.

The House of Lords must listen to what the people are saying, look at the impact on the lives of the poorest, not jump to diktat from the Tory government.

When those demands land on the doorstep, remember who cut your tax credits.

Please sign the petition calling upon the House of Lords to veto cuts to tax credits.

Vodafone hashtags get hijacked yet again

March 28, 2015

Vodafone do not seem to learn.

Please hijack their hashtags

and tell them what you think of their tax dodging.

Of course they could pay the billions of pounds in tax they owe.