As loyal readers know, whilst I am critical of HMRC I also regularly point out that much of the blame for HMRC's plight/performance and the shambles of a tax system that we have in this country lies with HMRC's political masters and their hypocrisy wrt tax avoidance etc.
The issue of politics and tax was brought up by John Cridland the Director General of the CBI last week, when he noted that the Government’s claimed pro-enterprise drive, including
cutting the corporation tax rate from 28%c to 20% by 2015, is being muddied
by its anti avoidance rhetoric directed against companies.
He was quoted by the
Telegraph:
“Many UK CEOs of global businesses have had telephone calls from their global
CEOs somewhere else on the planet saying, 'We are just a bit confused'.
On the one hand we see this drive to make the UK the most tax-competitive
capital in the G20. On the other hand, politicians are increasingly critical
of business in Britain as somehow not paying its fair share in tax.
That confusion of purpose – are we making the UK more tax competitive? Are we
sending signals that somehow big business can’t be trusted? – needs
reconciling.
But at the same time there’s a schizophrenia here.
Because when
the Prime Minister said at Davos, 'Wake up and smell the coffee,’ he was
talking to the wider international business community and particularly those
operating in the UK.”
That being said, the CBI recognised that businesses need to do more to explain themselves; especially as many politicians have never done a days work in their lives in the real world, and are seemingly completely ignorant of the difference between turnover and profit.
Cridland said:
“My message to business is … get on the front foot and make your case, because
it’s not a bad case to make.
My message to Government
would be: constructively challenge us, but be clear what endgame you are
looking for – which is [that] the UK is [seen as] a great place from which
to do global business, and modern transparent tax arrangements that have no
room for abuse are a critical part of that, and be clear on your
signalling.”
Sadly I suspect the calls to the politicians will fall on deaf ears; the political pygmies that currently inhabit Westminster are dog whistle sound bite chasing individuals who do not lead from the front or by example, and who have no interest in simplifying the chronically complex tax system that we have in place in the his country.
Tax does have to be taxing.
Professional Cover Against the Threat of Costly TAX and VAT Investigations
Insurance to protect you against the cost of enquiry or dispute with HMRC is available from several sources including Solar Tax Investigation Insurance.
Ken Frost has negotiated a 10% discount on any polices that may suit your needs.
However, neither Ken Frost nor HMRCISSHITE either endorses or recommends their services.
What is
Solar Tax Investigation Insurance?
Solar Tax Investigation Insurance is a tax-fee protection service that will pay up to £75,000 towards your accountant's fees in the event of an HM Revenue & Customs full enquiry or dispute.
To find out more, please use this link
Solar Tax Investigation Insurance
Tax Investigation for Dummies, by Nick Morgan, provides a good and easy to read guide for anyone caught up in an HMRC tax investigation. A must read for any Self Assessment taxpayer.
Click the link to read about:
Tax Investigation for Dummies
HMRC Is Shite (
www.hmrcisshite.com), also available via the domain
www.hmrconline.com, is brought to you by
www.kenfrost.com "
The Living Brand"
