Is being a tax avoider socially unacceptable?

Spidernick

27col wrote: »

Quite apart from their dodgy tax arrangements. I wouldn't patronise Starbucks just because I don't want some barrista calling me by my Christian name.

Tell them 'My name is Ozymandias, king of kings' and see how they react!

Spidernick

I pay into my work pension as, earning between £50K and £60K and with three kids for whom my wife gets Child Benefit, I'd be mad not to as my savings rate is effectively 66.75% (40% tax, 2% NI and 24.75% Child Benefit not clawed back).

The difference between my pension 'tax avoidance' and these convoluted schemes (and they all seem to be, that is a key factor that I don't think anyone has mentioned yet) is that I will almost certainly pay tax on my pension once I receive it (albeit at lower rates than the savings I am getting now - well I sincerely hope so!) but a lot of these schemes are designed so that no tax ever gets paid anywhere, with artificial 'losses' and the like.

Loughton_Monkey

chucknorris wrote: »

.....Please Ed I beg you, please stay for the sake of the Tory voters, we really do need you.

... heard in the Labour ranks, "come back Neil Kinnock, all is forgiven." At least he had a reasonably competent potential chancellor (John Smith). The current oppo, Ed ...er... Somebody beggars belief.

I bet the boy Carney is tentatively arranging his exit just in case. He doesn't mind writing the monthly inflation letter, but apparently draws the line at having to write it with crayons using words of one syllable only......

michaels

Spidernick wrote: »

... I will almost certainly pay tax on my pension once I receive it (albeit at lower rates than the savings I am getting now - well I sincerely hope so!) ....

I'm very similar except I sincerely hope that I will be paying the same tax rate when receive my pension...well one can but dream

Dr._Shoe

Right.

There is a big difference between tax evasion and tax avoidance. Evasion is illegal and avoidance is not.

The main principle of taxation is to raise revenue for the exchequer (or even the current chequer if there's some left over- Old acountants' "joke"). The secondary purpose of taxation is to influence fiscal behaviour. You allow someone a tax break for investing money in training or a new business venture, so many people are better off and in the end it becomes a very cost effective way of improving the pool of trained workers and boosting the economy.

For example, my boss decides to spend £9,000 on staff training (which includes weekly yoga and zumba sessions, it's a long story but it is relevant training) but then makes a loss so pays no tax. This means that 20 or so people are better at their jobs than they would otherwise be and, should they choose to move on, receive a higher salary and therefore pay more income tax. They will also have a higher disposable income so will spend more in the shops generating VAT and increased taxable profits (unless they spend all their money in Starbucks). These increased profits mean that the shops (Asda let's say) can also spend more on training and so produce people who can command higher salaries, pay more taxes etc. and so it goes on.

Now, suppose my boss made £8,999 profit instead, she would probably pay about £2,400 in tax which wouldn't be enough to train a gnat to fart!

Tax rebates and allowances are cost effective ways of investing money into the economy without having rampant inflation.

TickersPlaysPop

Sucking the life out of this country on an industrial scale is social suppression in a time when austerity is forced upon us all. It is a policy our current government have no choice but to support because they are lap dogs of the rich multinationals.

Gangaweed

chewmylegoff wrote: »

I want to know if Ed Milliband has an ISA and a pension. If he does then he should probably resign right now.

If he doesn't, he should resign anyway.

thor

TheBlueHorse wrote: »

its rubbish because "richer" people are paying more, despite living in the same functioning society.

And so they should! The rich are only rich because the government of the day has used taxpayers money to create the 'functioning society' in the first place for the wealthy to flourish.
You think multinationals or rich individuals would have the ability to provide infrastructure, maintain law and order, educate the next generation? Don't make me laugh.

chucknorris

michaels wrote: »

I'm very similar except I sincerely hope that I will be paying the same tax rate when receive my pension...well one can but dream

I'm also in that boat, I will certainly be at least in the same tax band, but being able to take 25% tax free and the pension pot growing tax free is a benefit worth having.

purch

Loughton_Monkey wrote: »

one of the EEC countries.

It's the EU mate.

The Maastricht Treaty ended the EEC and created the EU.