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IS There A Legal Way Of Hiding Money From The Government?
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# 1
consumer23
Old 15-10-2011, 10:09 PM
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Default IS There A Legal Way Of Hiding Money From The Government?

Hi,

I have heard of various ways of hiding money away from the Government which would mean you would pay less tax, however I do not know anything more about it or where to hide it.

Is hiding money legal? And is money safe that is hidden away?

P.S. I'm not talking about hiding it under a bed or in a safe either.

Thanks
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# 2
jon3001
Old 15-10-2011, 11:43 PM
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Quote:
Originally Posted by consumer23 View Post
P.S. I'm not talking about hiding it under a bed or in a safe either.
So where are you planning on sticking it up?
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# 3
Rollinghome
Old 15-10-2011, 11:46 PM
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Quote:
Originally Posted by consumer23 View Post
Hi,

I have heard of various ways of hiding money away from the Government which would mean you would pay less tax, however I do not know anything more about it or where to hide it.

Is hiding money legal? And is money safe that is hidden away?

P.S. I'm not talking about hiding it under a bed or in a safe either.

Thanks
Hiding money may or may not be legal, depending on your intentions; evading tax isn't and the taxman would make your life very uncomfortable if he thought you were attempting to do that.

The question would be: why would you want to hide money from the government if what you were doing was legal?

Doesn't mean you shouldn't use the tax breaks available to everyone such as ISAs and your CGT allowance.

Last edited by Rollinghome; 15-10-2011 at 11:53 PM.
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# 4
talexuser
Old 15-10-2011, 11:54 PM
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Quote:
Originally Posted by consumer23 View Post
Hi, Is hiding money legal?
Sure it is, become a multinational company, throw plenty of money at political parties, they keep lots of British dependencies as tax havens especially for you (Caymen, Bahamas etc), set up multiple subsidiaries there, channel your profits through these holding companies, make millions of profits in the UK but pay very very little, if any, tax. Then have a good laugh at your employees on PAYE paying more and more and getting less and less back in services.

Last edited by talexuser; 16-10-2011 at 12:02 AM.
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# 5
gt94sss2
Old 16-10-2011, 1:12 AM
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Quote:
Originally Posted by consumer23 View Post
I have heard of various ways of hiding money away from the Government which would mean you would pay less tax
There is a difference between tax avoidance (which is legal) and tax evasion (which is illegal)

Tax avoidance is not the same as 'hiding' money from the government but using tax laws/rules to your benefit - examples of these could be saving money in ISAs or making pension contributions on which you get tax relief.

Regards
Sunil
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# 6
MoneySaverLog
Old 16-10-2011, 7:21 AM
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Originally Posted by gt94sss2 View Post
examples of these could be saving money in ISAs or making pension contributions on which you get tax relief.
In both the above cases, BIG BROTHER is watching you. There is no way of hiding, we know what you are up to.
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# 7
atush
Old 16-10-2011, 8:11 AM
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The only reason to Hide money from the govt, is for reasons of Tax evasion, which is illegal. So the answer to your question is no.

EVen if you do have money in an acct in a place such as the Bahamas (which as a sovereign nation chooses their own laws on tax and therefore is not 'kept as tax havens for you by British political parties') you are legally required to mention these accts and their interest esp should any of that interest income or gains ever reach UK shores on your UK tax returns.
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# 8
talexuser
Old 16-10-2011, 10:49 AM
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If governments really wanted to clamp down on the powerful avoiding tax, the tax havens could be sanctioned to change tomorrow. They don't.
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# 9
atush
Old 16-10-2011, 12:13 PM
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It is not the job of our govt to tell other countries how to run theirs. Not their job, not their electorate. Not unless their are human rights issues to address, which isn't the case in your above examples.
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# 10
Ilya Ilyich
Old 16-10-2011, 12:24 PM
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Nobody's proposing changing the laws of other countries dude.
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# 11
atush
Old 16-10-2011, 12:50 PM
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Originally Posted by talexuser View Post
If governments really wanted to clamp down on the powerful avoiding tax, the tax havens could be sanctioned to change tomorrow. They don't.

"Sanctionned to change". yes they are Dude.
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# 12
talexuser
Old 16-10-2011, 1:45 PM
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Sorry, but you can't convince me that a) the situtation is fair to all taxpayers and b) that if governments around the world really wanted to do something about it, they couldn't.
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# 13
atush
Old 16-10-2011, 2:18 PM
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It isn't my job to convince you, nor is it for one country to stop another doing their business in whatever way they like.

If govt wants to make it fairer to all, they can do that- in law right here. But Labour didn't and they had the majority to do it.

The US govt laws are such that their cits can't get tax relief in tax havens like europeans can as they have tightened up rules, and made world wide income taxible in the USA. US cits living and working in britain still have to file tax returns and declare everything here to the US even though they aren't resident in the US. the UK does not do this.
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# 14
Truepat
Old 16-10-2011, 2:37 PM
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There are many things you can do to avoid tax.
34, semi retired, sun, sand, sea, life is good
When you are done moaning remember that there are people who would love to have your standard of living!
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# 15
jackyann
Old 16-10-2011, 2:58 PM
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I'm sure there are many things you can do to avoid tax. There are many things this Government (and in fairness, many other Govts as well) does to avoid giving proper services to the people who have contributed to them.
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# 16
atush
Old 16-10-2011, 4:50 PM
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"avoid giving proper services to the people who have contributed to them"

This has not much to do with rich people hiding money, more like you don't like how your givt spends it.

But think twice before you throw the baby out with the bathwater. It was Labour that got us where we are, and no way will they get us out of it. They are too busy complaining about the tories and cozing up to their Union masters to actually come up with any proper ideas.
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# 17
le loup
Old 16-10-2011, 6:35 PM
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What bollocs you keep talking.
Give it a rest, the man was making a non party political statement and it seems you can't let a single day go by without having a pop.
It's not as if you even live here so STFU!
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patman99
Old 16-10-2011, 6:56 PM
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Consumer23 could always become a citizen of Gibralta. You don't even have to live there or own land or property, yet as far as tax is concerned, you pay nothing.
I watched a program hosted by Piers Morgan about the rich Brits who had moved to Monaco, and he interviewed a chap from up north who had sold his string of Pharmacies for 18m, but to avoid paying UK taxes, he became a Gibraltan citizen before he wen ahead with the deal.

It's an awful lot of fuss just to save a few quid though. My view is, you earn the money working in the UK, so you should pay your dues. If you don't pay your taxes, you should receive no benefits.
Never Knowingly Understood.

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# 19
talexuser
Old 16-10-2011, 7:22 PM
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Quote:
Originally Posted by atush View Post
If govt wants to make it fairer to all, they can do that- in law right here.
Glad you finally agree with the very point I was making all along.
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