True. But how much fight is Osborne likely to put up to close his own loop hole which he benefits from?
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George Osborne's family company has paid no tax for seven years
- Thread starter kevo
- Start date
True. But how much fight is Osborne likely to put up to close his own loop hole which he benefits from?
You really are a twit at times.
Looks like a Private Eye article.
Without a doubt.
Most people in the same situation would do the same thing (doesn't necessarily make it right, but that's what the system encourages).
True. But when you are part of the government which makes the rules you have a seriously vested interest in maintaining the status quo.
Milton Keynes Seagull
Active member
In the case of George Osborne or indeed any other Tory minister and MP, this is surely a question of ethics and not the legalities of tax avoidance. Combined with a massive dose of hypocrisy.
pastafarian
Well-known member
Thanks,i thought it was perfectly reasonable economics
perhaps you could explain why you would like the practice of UK firms using historic losses and capitol allowances to offset tax on profits abolished
what benefits do you see from abolishing this practice? Im sure you have a large list
(of course remembering we are talking about the UK firms here)
No political apologist but the news element of the article is laughable. Putting Capital Allowances, use of losses and timing differences in parenthesis implies there is something wrong with them. Another way of looking at it is this
For the last seven years the company has made insufficient profits to pay tax. Due to the uk tax system, it hasn't reclaimed any historical tax paid from the Treasury, but has instead built up its wholly legitimate losses and capital allowance pools to offset against future periods.
During the same time it has kept many uk-based employees in work, all contributing income tax to the uk economy.
Same facts - reads differently though, doesn't it?
As an aside, corporation tax contributes 8% of the uk's total tax take. Income tax is by far the most important contributor - which is why governments (lab, coalition and con) have focused on helping companies lighten their tax burden to employ more uk people.
For the last seven years the company has made insufficient profits to pay tax. Due to the uk tax system, it hasn't reclaimed any historical tax paid from the Treasury, but has instead built up its wholly legitimate losses and capital allowance pools to offset against future periods.
During the same time it has kept many uk-based employees in work, all contributing income tax to the uk economy.
Same facts - reads differently though, doesn't it?
As an aside, corporation tax contributes 8% of the uk's total tax take. Income tax is by far the most important contributor - which is why governments (lab, coalition and con) have focused on helping companies lighten their tax burden to employ more uk people.
Yep. Not sure how those conflicts can be removed though - can't expect those who want to stand for parliament to give up their private wealth - not sure what rules they have on active participation. I suspect someone like GO is unable to take any active part in the running of the company but it's impossible to completely detach himself.
D
Deleted member 22389
Guest
It's wrong but his family or company is probably not the first to do it. It happens regardless of whether somebody is Tory or Labour, they are all hypocrites. Secondly, since this thread is not football related shouldn't this thread be moved to the other forum.
Machiavelli
Well-known member
It's not about ethics, it's about politics. And they can get away with it, because they control the narrative, which is greatly assisted by their friends in the media. I'm wondering which of the national newspapers are carrying this story.
The article is poor to say the least. It doesn't give the losses, which there presumably were, in the previous years and instead keeps banging on about turnover. All companies can carry their previous losses over to a profitable year to offset tax. It's not new, it's not illegal. I'm guessing those getting on their high horses are only doing so because it involves Osbourne. I would imagine plenty of businesses run by Labour supporters or indeed that have Labour MPs involved in them have used this standard accounting practice - THAT IS ALLOWABLE BY HMRC !!!!!
Personally, I'm much more offended by Mrs Blair making money out of defending dictators and mass murderers.
Personally, I'm much more offended by Mrs Blair making money out of defending dictators and mass murderers.
pastafarian
Well-known member
dont think anyone has mentioned immigration yet,this thread is still safe from censorship by the unknown MOD
D
Deleted member 22389
Guest
That might just do it, you just mentioned immigration lol.
I think we all need to be careful on this tax issue, without offering too much personal detail I started three businesses over 5 years ago, none of them have paid any tax and are unlikely too for several years. On the outside they seem very successful and they are. However I have had to pile a couple of quid in to get things going and any profits the businesses make are being reinvested into growing them. BTW, before anyone asks; I'm paid less than my employees and we have created many FT permanent jobs.
My point is you can never look purely at corporation tax. Some businesses are creaming it royally, I'm sure, what I'm not sure of is which ones and what others businesses are doing by investing to create jobs, build sales, New Product Development, Service Enhancement and securing the businesses future.
My point is you can never look purely at corporation tax. Some businesses are creaming it royally, I'm sure, what I'm not sure of is which ones and what others businesses are doing by investing to create jobs, build sales, New Product Development, Service Enhancement and securing the businesses future.
Doc Lynam
I hate the Daily Mail
- Jun 19, 2011
- 7,347
The more profitable the company the less tax you pay?
pastafarian
Well-known member
im sure you have at least 50 examples of UK firms with accounts going back over the past 7 years to prove your point is true.
50 is a tough ask out of thousands
how about you just list 10 UK firms with all their previous accounts for the last 7 years
LamieRobertson
Not awoke
Good advice...i now use an accountant (through NSC) after years without one and found they've covered there bill by savings and no hassle for me