Showing posts with label tax avoidance. Show all posts
Showing posts with label tax avoidance. Show all posts

Sunday, 12 May 2013

In praise of tax avoidance...

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It's my money for heaven's sake. All of it. It doesn't belong to you. It isn't there for you to spend it on co-ordinating things or for pretending that you care (when really you care only about your pay cheque just like I do).

There's a case for tax - not a good one but a case. But that case is made worse by the waving of bloody shrouds at people who, quite rightly, morally and properly, seek to make sure they keep as much of the money they earn to spend themselves.

In the end I avoid taxes - just like millions of others - for some important reasons:

1. The government demands too much of what I earn - mostly for no good reason

2. The government is very bad (or too good depending on one's perspective) at spending money

3. In its urge to scam every last farthing the government makes tax ever more complicated and therefore avoidable

4. Avoiding tax reduces the power of that government to stop me from living my life in freedom

Tax avoidance keeps government honest. I've no idea how that government raised up a frothing mob to chase down all the tax avoiders but, if we do one honest and moral thing in our lives, we should face down that mob and keep on avoiding paying taxes. If a tax can be avoided it's your duty to do just that, to weaken the power of government, to give the rise to pathetic baby "anarchists" who want to burn down shops to make them pay more tax, and to make the biggest, loudest raspberry in the general direction of the great waste that is government.

Every time I hear another news report of some business or celebrity caught in the headlights of the mob as "tax avoiders" I want to cheer them, to cry out in their defence and to celebrate their sense at avoiding paying taxes to the uselessness of government.

It seems to me that tax avoidance is a moral duty.

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Friday, 14 December 2012

Google and tax - well said Mr Schmidt!

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A new blog hero:

“We pay lots of taxes; we pay them in the legally prescribed ways,” he said. “I am very proud of the structure that we set up. We did it based on the incentives that the governments offered us to operate.”

The company isn’t about to turn down big savings in taxes, he said.

“It’s called capitalism,” he said. “We are proudly capitalistic. I’m not confused about this.” 

It's us politicians who set the rules and the rate not the taxpayer - business or consumer. If you've a problem with those rules or those rates, address your concerns to the cause not the beneficiary.

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Saturday, 18 December 2010

UK Uncut's campaign is offensive, immoral and wrong

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Today I have been sorely tried indeed. Not, dear reader, as a result of problems with the weather – we can’t really get cross with nature however annoying she may be and however futile our hubristic pretence of control. No, my irritation has been sparked by UK Uncut and their offensive, immoral and selfish mission to:

…become part of an army of citizen volunteers determined to make wealthy tax avoiders pay.


The basic premise of this campaign is that individuals and businesses that have done nothing wrong, have broken no laws and, in reality, contribute enormously to the betterment of our nation must be targeted because they are “tax dodgers”.

Alright, I hear you, how can you describe these protests as ‘offensive’ and ‘immoral’ – surely folk have a right to protest? Well let me explain a little.

The first thing to observe is that governments determine the nature and level of taxation not businesses or individuals – however wealthy or successful. Any complex tax system – and dear old Gordon made ours among the most complicated – contains contradictions, loopholes and provisions that can be used to reduce tax liability. The businesses and individuals being attacked by UK Uncut are not responsible for the problem (assuming we see it as a problem) – the British Government is responsible. And let’s remember that, for the arrangements criticised in Vodaphone and Sir Philip Green’s case, it was a Labour Government.

Which brings us to the morality of all this. Rightly or wrongly, the UK Government has settled the tax affairs of these organisations and individuals for the money to which UK Uncut refer. We may feel that not enough tax has been paid but it would be wrong – unjust, to use the sort of language beloved of protesting folk – to retrospectively change the tax treatment.

A second problem with UK Uncut’s morality is their belief that it is right for them to demand other people hand over more money to the government – to, in effect, demand money with menaces. Not, I might add, to argue that government should change the rules on which we are all taxed but to demand specific extra taxes from identified individual people and businesses. Simply because UK Uncut has decided that these people did not pay enough. Not only are such demands offensive they are again immoral – attempts to use mob violence to force voluntary payments from individuals is a negation of liberty.

Finally, we should remind ourselves of the selfishness these protests represent – that uniquely smug selfishness we associate with some on the left. Some kind of magic garden filled with money trees has been identified – look there at those rich people, they have money. Take it off them and, you’ve guessed it, give it to us. Or we will disrupt you business – and the lives of ordinary folk who just want to do a bit of Christmas shopping. As Labour blogger, Luke Bozier put it:

No group of protestors has the right close down a store which is operating legally. It's illegal and wrong to walk into a store and stop it from carrying out its legitimate business. Who on earth do UK Uncut think they are to stop people from using popular shops like Topshop and Marks & Spencer? The customers and staff are adversely affected, the company loses money from the sales lost and ultimately the state suffers from a reduced tax receipt.


And all to preserve whole floors of policy officers, rooms full of equalities advisors, armies of training officers, HR consultants and cabinet support teams. To carry on taxing ordinary – and some creative and extraordinary people – to penury so as to maintain a bloated, arrogant and ineffective state system. A system where millions are spent on a CCTV system that can’t identify the thugs who hammered my son. Where we double the spending on schools and get more semi-literates. And where we pour money into the bottomless pit of the NHS and get a service-free, ignorant and nannying health system that sees us less healthy and shorter-lived compared to our near neighbours.

The Big State has failed. It’s not just the need to reduce spending because of the deficit – although that’s to be sorted. It’s that the model – the tax, tax, tax, spend, spend, spend – does not deliver what we want; good services. We should stop pretending that our public services are – in any respect –comparable in service quality to the typical standards in the private sector. And we should also stop pretending that those public services offer value-for-money – compared to the private sector they are expensive, rules-bound and ineffective.

So get off your high horses UK Uncut – your campaign is immoral and your objectives would condemn our nation to further decline, higher unemployment, poorer services and a depressed, cowed public. Or at least the ones who can’t plan their escape!

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