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Tax avoidance and Jimmy Carr

(75 Posts)
bluebell Tue 19-Jun-12 15:54:19

When is tax avoidance going to be really taken seriously? If Jimmy Carr - and those of his ilk- suddenly need the emergency services , he'd get them - probably get a better service even - and yet he's allegedly not paying his fair share towards them. No doubt he's also earned money - or at least been paid by them - now who funds the BBC? I just don't know how people live with themselves

bluebell Tue 19-Jun-12 15:55:43

I meant received money from the BBC - I'm so mad I can't type straight!

glammanana Tue 19-Jun-12 17:37:45

How is he allowed to get away with it,the week my private pension kicked in my tax payment went up,not that I'm against paying it at all but why should he not pay,and he is about as funny as a boil on my ---

j04 Tue 19-Jun-12 17:40:17

There is a youtube video of when he was on tv taking the mick out of Barclays for doing just this! Pot - kettle -black !

I won't link to the video as it has really bad language on it.

MrsJamJam Tue 19-Jun-12 17:50:44

After a lifetime of PAYE, and now a pension that is taxed at source, it makes me furious that these people who seem to earn squillions compared to most of us think that they need all of it and don't need to make a contribution to the rest of the country.

But I do wonder how it can be changed; guess its more about changing attitudes, because plugging loopholes just leads to a certain type looking for a new loophole.

jeni Tue 19-Jun-12 17:58:52

I reckon the tax I pay is equivalent to the HEOs salary who works it out! If they sacked that HEO I wouldn't need to pay tax!grin

jeni Tue 19-Jun-12 17:59:36

That line went across again!confused

Anagram Tue 19-Jun-12 18:00:52

GNHQ said it would go back within the next 24 hours. Not instantly!

j04 Wed 20-Jun-12 12:52:28

Take That been doing it too!

Mind you, if you could, wouldn't you? shock grin

feetlebaum Wed 20-Jun-12 13:22:33

Tax avoidance is legal, and not the same as tax evasion.

Do we think that we all ought to say to the tax people 'You've asked me for £1,000 - here's £1,250 - I know I don't have to pay that much, but what the hey, it's only money...'

j04 Wed 20-Jun-12 13:45:08

Looks like the Inland Revenue are gonna catch with 'em though! grin

FlicketyB Wed 20-Jun-12 21:49:18

I think this man is a parasite on society. I assume he was born and brought up in this country and has benefitted from the state funded health and education, not to mention driving on roads, street cleaning, lighting and all those myriad services provided by taxation, yet he sees no reason why he should help pay for them. He and others like him should be treated as social pariahs.

Can we not change our financial system so that a person on any given income will always be expected to pay a certain proportion of it in tax? For example: if your income is £500,000 a year, you will automatically pay 25% of your income in tax before you can start using any avoidance schemes.

Greatnan Thu 21-Jun-12 06:22:24

One silly judge let Ken Dodd off in spite of clear proof that he had been taking undeclared cash over to the Isle of Man and it seemed that many people found that funny and acceptable. I didn't. However, the Conservative Party is in no position to be sanctimonious, as some of its biggest donors pay virtually no tax in Britain.
Whenever one loophole is closed, the rich will employ clever accountants to find another, but that is not a reason for HMCR to give up trying.
The change to Self Assessment,which was simply to save money on the salaries of experienced Tax Inspectors, has been a disaster. Just another example of short-termism in politics.
In the meantime, Dave Hartnett, CEO of HMCR has been doing deals with large companies, such as Vodophone, saving them many millions in tax and interest againt the advice of his own lawyers. He refused to answer questions to an official enquiry on the grounds that he could not break 'client confidentiality'. Of course, only Private Eye has had the courage to pursue him for a couple of years. Strangely, he has not threatend to sue. Hartnett will be retiring in a few weeks and is booked to speak at a conference entitled Practical Tax Planning 2012 shortly after he leaves office.

Quis custodiet ipso custodes?

whenim64 Thu 21-Jun-12 07:56:45

After that nonsense budget in which Osborne reduced the higher tax rate from 50p to 45p, so many people predicted that tax avoiders would still pay nothing. Jimmy Carr is a prime example. When they close this loophole, his accountants will have shifted his money elsewhere. If they close all the loopholes, we'll see an exodus of wealth as they all slope off to live abroad. I don't know what the answer is - wealthy people with no social conscience aren't going to behave differently unless their assets are frozen till they pay up - don't see that happening. The next step will be Jimmy Carr and others announcing just how much they have donated to charity, and I bet it's the equivalent of what they should have paid in tax.

Greatnan Thu 21-Jun-12 08:37:27

Stop press. Jimmy Carr has decided he has made a terrible error of judgement and has withdrawn from the tax-avoidance scheme. In other words, he has been found out.

whenim64 Thu 21-Jun-12 08:41:56

Ooooh! what a surprise! grin

He didn't really have much choice, did he? I can't wait to watch this weeks' Have I Got News For you? and other topical programmes that will be busily concocting their Jimmy Carr jokes. Should be fun grin

Annobel Thu 21-Jun-12 09:07:22

Mock the Week tonight at 10pm on BBC2, but I fear it may have been recorded before the JC story broke.

j04 Thu 21-Jun-12 09:27:58

I wonder if they will actually get him on to HIGNFY this week. I think he will have quite a ball making jokes about it himself. He will know that is the best way to deal with it.

Bet he's on it sooner or later. grin

j04 Thu 21-Jun-12 09:28:44

He will have the support and sympathy of a lot of high earners in showbiz.

j04 Thu 21-Jun-12 09:30:13

I wonder if we could find out what the scheme is and how you join?

Obviously, we wouldn't have enough dosh individually, but if we clubbed together we could probably save ourselves a bob or two. smile

j04 Thu 21-Jun-12 09:30:24

wink !!!

absentgrana Thu 21-Jun-12 10:34:25

j04 The scheme is that your "wages" are not paid directly to you but to an offshore company. That company then pays you a minimum wage and "lends" you the balance. Obviously it's set up in some kind of complex way that must make the so-called loan look plausible as it seems extremely unlikely that it is ever repaid. (A genuine loan is not taxable.) Revenue and Customs are investigating.

j04 Thu 21-Jun-12 10:36:10

Thankyou absent smile

j04 Thu 21-Jun-12 10:37:03

Does it work for pensions? wink

Granb Thu 21-Jun-12 11:50:08

I would ask on what basis our Prime Minister and members of his Cabinet feel they have the right to actually publicly name an individual who is doing nothing legally wrong. It may be morally wrong for Jimmy Carr to be involved in the relevant tax scheme, but that still does not give DC that right. Unless of course he is going to make it his personal crusade to 'out' each and every person in this country who has, or is, trying in some way to avoid paying tax and in so doing are taking advantage of the complexities and loopholes that exist in our taxation system. I would suggest he starts his crusade with his Cabinet and ensures that anybody who takes income as a beneficiary of a trust, or anybody who has transferred assets or income into a lifetime trust are named and shamed. He will then need to move on to MPs, civil servants, footballers, luvvies at the BEEB, etc etc. down through all the layers and tiers of our society.

He is likely to be a little bit busy and won't have much time for running the country but hey.... at least we will all exactly at whom to point the finger. He is also going to find that he has lost an awful lot of support, especially when the lists are published. I wonder how many GNers will appear on the lists (ooh, should I 'out' myself first as I have made inheritance tax provisions???)

David Cameron and his Ministers should not indulge in making silly sound-bites. Statements about morality should not be made. Statements about fairness should not be made. Fairness would mean that nobody can avoid paying tax ... to achieve that, the law will need to be changed. We may find that we get more than we bargained for but lets watch this space shall we?