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Social Justice > Published by Shamik Das, October 18th 2010 at 6:49 pm

Osborne, Mitchell and Hammond accused of tax avoidance

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In the week in which the coalition will announce massive cuts to public services three high-ranking cabinet ministers face accusations of tax avoidance. Chancellor George Osborne – the man who on Wednesday will spell out the cutbacks the country must suffer – international development secretary Andrew Mitchell and transport secretary Philip Hammond are all named in tonight’s Dispatches, to be broadcast on Channel Four at 8:00, as having saved millions in taxes.

George-Osborne-Andrew-Mitchell-Philip-Hammond

The programme will reveal that Mr Mitchell invested at least £130,000 into offshore investment funds, one of which is based in the Caribbean tax haven of the British Virgin Islands. A British Virgin Islands company won’t pay corporation tax; if it was a UK company owning the property it would pay corporation tax - so clearly there’s a saving there.

The benefit to investors of investing in such a fund is that they will pay tax as and when they cash in, but in the meantime there are better investment returns because the company has got 100 per cent to reinvest rather than about 70 per cent.

Of Mr Hammond, the programme reveals he “did a Philip Green” – i.e. he transferred some of his assets over to his wife, resulting in a much-reduced tax bill for the millionaire. Last October, he transferred 40 per cent of his shares in Castlemead Ltd. (a company which has paid him £3.75 million in dividends since 2003) to his wife.

By transferring shares to his wife, the programme explains, any payouts she receives from the company could be taxed at a lower rate, and the fact that Mr Hammond made this transfer last October – just six months before the new higher rates of tax for high-earners was introduced this April – makes this potential tax saving even more valuable. According to tax experts, she stands to make a tax saving of £180,000 for every £1m of profit.

On to Mr Osborne, and Dispatches reveals his family has set up offshore trusts, one of the most common ways for the super rich to avoid paying inheritance tax – put simply, there will be no inheritance tax to pay on the death of Mr Osborne’s father, a saving of up to £1.6m.

Mr Osborne no longer declares his interest in his family trust in the House of Commons register of members’ interests.

Left Foot Forward has repeatedly highlighted the allegations of tax avoidance made against the Tories, and the party’s refusal to take action against it, from Lord Ashcroft to Philip Green and the circle of hedge fund managers surrounding the chancellor, and in February, we reported how the Conservative party’s MEPs voted against reforms to clamp down on tax dodgers.

For all the rhetoric of Danny Alexander

“We will be ruthless with those often wealthy people and businesses who think they can treat paying tax as an optional extra. This will mean: A crackdown on those hiding money offshore. And that includes not only those who illegally evade tax but those who use entirely legal means to avoid paying their fair share to the taxman.”

And Nick Clegg

“We will crack down on the super rich who hide money overseas.”

…it appears that their coalition partners have no intention of closing down the loopholes from which so many of them appear to have benefited so generously at the expense of us all. We’re all in it together, so they say; some more in it than others.

Dispatches: How the Rich Beat the Taxman airs tonight at 8:00 on Channel Four, and is available to view online on 4oD soon after.

  • http://twitter.com/howardricketts/status/27756191296 Howard Ricketts

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/howardricketts/status/27756191296 Howard Ricketts

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/andyprg/status/27756261636 Andrew Griffiths

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/brinning/status/27756293051 James Brinning

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/dizzyingcrest/status/27756329670 Dizzying Crest

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/westernshores/status/27756341345 Pen

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/bradleyphipps/status/27756410091 Bradley Phipps

    RT @leftfootfwd Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K … < It just keeps getting better, doesn't it?

  • http://twitter.com/burdzeyeview/status/27756447662 Kate Higgins

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/johnedginton/status/27756459080 John Edginton

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/fenboy73/status/27756460340 Stephen Germeney

    RT @leftfootfwd Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/guyaitchison/status/27756572067 GuyAitchison

    Devastating >> RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches at 8

  • http://twitter.com/alastair39/status/27756580335 Al Gillmore

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/gabi_jones/status/27756681881 Gabi Jones

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/23duff/status/27756738524 Ryan Duffer

    http://bit.ly/ak0h6K So we're all in this together eh Gideon? The f*cking hypocrisy of the man is unreal #Labour #libdems #Tories

  • http://twitter.com/23duff/status/27756744309 Ryan Duffer

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/clairee_french/status/27756884387 Claire French

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/tweetsainttweet/status/27757094281 Alex Saint

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/hsramdnih/status/27757116322 Jon H

    Is Gideon (the Chancellor of public sector cuts) avoiding paying inheritance tax? http://bit.ly/ak0h6K

  • http://twitter.com/quarrenne/status/27757155987 Karen

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/jood88/status/27757615062 Jude

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/lynnhancock/status/27757693572 Lynn Hancock

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • http://twitter.com/hannahhorton/status/27757890189 Hannah Horton

    RT@leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/timbrown2010/status/27757913617 Tim Brown

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc – A bloody disgrace!!

  • http://twitter.com/beaubilly10/status/27758097986 fljf

    RT @TimBrown2010: RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc – A bloody disgrace!!

  • http://twitter.com/raymondonia/status/27758215997 ray turner

    RT @TimBrown2010: RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc – A bloody disgrace!!

  • http://twitter.com/insidecroydon/status/27758216806 Inside Croydon

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/shlomopines/status/27758342391 Shlomo Pines

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/thehumantorpedo/status/27758367933 Paul

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/hoganist/status/27758388560 Dan Hogan

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/lithoboliax/status/27758638696 Lithobolia

    @turbohat, seen this? RT @leftfootfwd Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K

  • http://twitter.com/rattlecans/status/27758976044 Ma

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/anthonydavis82/status/27759054825 Anthony Davis

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/redstar987/status/27759340439 Redstar PCS Stoke

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • http://twitter.com/harbie90/status/27760959698 Andrew Harbison

    RT @TimBrown2010: RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc – A bloody disgrace!!

  • http://twitter.com/whiterose1314/status/27761836000 whiterose1314

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • John Lees

    Nothing wrong with tax avoidance, it is legal and any responsible person would do it. Tax evasion is illegal. You should not confuse the two. I see nothing wrong in transfering income to a lower earning spouse. We do not have joint tax filing.

  • John Lees

    You can avoid IHT legally by putting assets into a trust (offshore or onshore). You have to pay tax on putting the assets into it. Nothing illegal or wrong about that. You can also hand over an asset and then live 7 years if you trust your children! NOTHING WRONG with that either.

  • http://twitter.com/shaf_hansraj/status/27763600793 Shafik Hansraj

    And all of this is legal!! http://bit.ly/bEKIdf #dispatches #weareinthistogether

  • John Lees

    This is lazy journalism. Would you argue for changing the tax law? Probably not as this would outlaw trusts (these give protection to charities and minors) and foreign investment. By all means discuss how to change the law but don’t dress up legal acts as illegal.

  • torieboy

    well no one could accuse the Milibands of tax avoidance, could they ?????????
    you bunch of lefty hypocrites!!!

  • http://www.stephenwigmore.blogspot.com Stephen W

    Unless you are seriously suggesting people have some kind of moral duty to maximise the amount of tax they pay this is a stupid set of accusations. It is just silly.

  • Pete

    So what’s your point? Every person in the Country who uses an accountant can be accused of tax avoidance every person in the Country who takes out an ISA can be accused of tax avoidance. So I repeat what is your point?

  • Anna

    What has Philip Green got to do with anything ? he’s an adviser – previously a friend of Labour.

    This really is desperate stuff!!!

  • http://twitter.com/k_miall/status/27766377847 Katie Miall

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • http://twitter.com/magicpenusa/status/27767366438 The Magic Pen

    Osborne, Mitchell and Hammond accused of tax avoidance | Left Foot …: In the week in which the coalition will an… http://bit.ly/bRCZPx

  • http://sabcat.com/news/?p=75 sabcat's blog » Bollocks to the Cuts

    [...] While public sector workers at best face deteriorating pay and conditions the banks who are at the root of the financial crisis, after taking billions in tax payers money in bailouts are going to save £19 billion in tax . Vodafone have been let off a £6 Billion tax bill. The man who bankrolled the Tory election campaign Lord Ashcroft avoided £3.4 million. Philip Green who has reported on government waste has avoided £300 million. Even the vile  Gideon Osborne himself  and two other cabinet members are embroiled in tax avoidance allegations. [...]

  • http://twitter.com/davidward81/status/27767855985 David Ward

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • Stuart

    For the incredulous Tories above, here are why this might interest people:

    the only people likely to be avoiding tax are people who are very wealthy. Whereas the vast majority of the working public receive their wages and pay their income tax and have to do so, this very wealthy minority have such a large bundle of cash lying around spare that they can pick and choose how they’ll be taxed, and it makes sense for them to try and maximise its value. The objections to this are 1) that these people have this spare wealth lying around when other people barely have bugger all and 2) that the rules allow them to pick and choose how to maximise this wealth. This is why the argument isn’t necessarily against people who take out ISAs, which are something applicable to almost all of the working population, nor against these super-wealthy tax avoiders, who would indeed be strange to want to maximise how much tax they pay. Rather, in summary, it’s an argument against 1) the conditions that allow this kind of wealth to accrue to individuals in the first place, and 2) the fact that this kind of wealth is then allowed to multiply itself i.e. more shall be given to those who already have more. If you’re perfectly happy with both of these conditions, and no doubt you have arguments about why, then tax avoidance is clearly not going to bother you.

  • http://twitter.com/cylinderhead/status/27769331913 Adam

    They make benefits cheats look like saints. RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • Pat

    Well said, Stuart.
    Yes, John Lees et al, there’s maybe nothing illegal about “tax avoidance” as described, but …… surely it is wrong for Government Ministers to preach about the “fairness” of their cuts then use loopholes like these to avoid the effects of their cuts and “maximise their wealth” just because they can, when others, who can’t, will be losing their jobs, their benefits, their homes and their services with no alternatives for them!

  • Pete

    “..1) the conditions that allow this kind of wealth to accrue to individuals in the first place, and 2) the fact that this kind of wealth is then allowed to multiply itself i.e. more shall be given to those who already have more..”
    So your problem is that you don’t like people being richer than someone else.
    Fair enough, we know now where your coming from.

  • evidence based really?

    Article on Milliband’s avoidance please. This is Left foot forward at its worst.

  • BourgJoe

    Wow, this site is attracting hordes of uninformed Tories… it must be doing well then!

    For the record, Tax evasion is obviously not illegal, but hardly looks patriotic during a recession when everyone else is about to be clobbered. Are we all in this together? I can’t understand why conservatives think this kind of rank selfish behaviour is acceptable, especially when the coalition seems to think otherwise?

    And yes, no-one would accuse the Miliband’s of tax avoidance.. what planet are you on? Do you think it normal for half the front bench to be inheriting millions?

  • Mr. Sensible

    John, legal it might be, but given that we are only 2 days away from cuts which will effect frontline services and possibly economic growth it is hardly morral considering we are all supposed to be in this together.

    If we dealt firmly with people like this, there’s probably enough tax avoided in this country to clear our deficit, and more.

    I actually missed the programme, and will have to catch it on 4 OD. It sounds like I missed something interesting!

  • http://twitter.com/yorkierosie/status/27775255166 yorkierosie

    RT @cylinderhead: They make benefits cheats look like saints. RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • Graham

    Heres why the Condem coallition makes me sick!
    1)Nick Clegg “We will crack down on the super rich who hide money overseas.”
    Really, you can start with Andrew Mitchel then?
    2)Danny Alexander ““We will be ruthless with those often wealthy people and businesses who think they can treat paying tax as an optional extra. This will mean: A crackdown on those hiding money offshore. And that includes not only those who illegally evade tax but those who use entirely legal means to avoid paying their fair share to the taxman.” and what is Mr Hammond doing by transfering his assets to his wife?

  • http://twitter.com/vidalconsulting/status/27781437767 Leo Vidal Consulting

    Osborne, Mitchell and Hammond accused of tax avoidance | Left Foot …: A British Virgin Islands company won't pay… http://bit.ly/ahHJSy

  • http://twitter.com/cllrkrichards/status/27781768791 Kevin Richards

    "Do as I say not what I do" – hypocracy RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • Ebon Orca

    See the Tories are on the defensive again. This is the kind of hypocrisy that saw them sink in 1997.

    (1) tax avoidance is not illegal because of the loop holes that were put in the tax legislation by labour, conservative, libdems, MPs, lords, party activists, donors, think tanks,… what ever…. boils down to those with influence and money.

    (2) Given the conservatives…. sorry coalition want to make tax legislation simpler and cut the amount of red tape it could look as though they are only doing so, so that it is easier for those with money and influence to avoid paying tax on investments.

    (3) The libdems have made a commitment (sorry, started laughing as I typed that) to crack down on tax evasion and tax avoidance by making in harder. This would seem to be another insurmountable difference between those who would make tax law simpler and those who would make it harder. Never mind I sure Cameron and Clegg will sort it all out. Especially when a significant amount of your cabinet would appear to have both money and influence.

  • http://www.stephenwigmore.blogspot.com Stephen W

    Dear BourgJoe. It is convenient that you manage to make yourself look daft with your own words. “Tax Evasion” is illegal, being defined as illegal efforts to avoid paying tax. What they are being accused of is tax avoidance, that being legal efforts to avoid paying tax. And this individuals are still probably paying vastly more tax than you or me or most people, so no, nobody cares about this.

    And the millibands are being mentioned because they used some complicated scheme to minimise inheritance tax on their father’s expensive london house. Tax avoidance one could even say. And good luck to them. But considering LFF’s love of everything miliband rank hypocrisy to condemn tories but conveniently not mention it. Also, if you don’t think there are plenty of millionaires on the labour front bench then you’re as stupid as you sound.

    Maybe you should actually try working out what it is we’re talking about before opening your mouth.

  • http://twitter.com/talofer/status/27811666133 Tal Ofer

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • Anon E Mouse

    This article shows how the left have absolutely no idea of how to tackle this current government.

    Considering how useless and unpopular Gordon Brown was, Labour did relatively well at the election all things considered but articles such as this one just serve to show how rudderless they seem to be.

    This is a bandwidth wasting non story and when one considers Lord Paul yesterday (since he personally funded the idiot I mentioned previously, I bet the left stop the childish “Cashcroft” jibes now), Baroness Uddin and Denis MacShane (whoever decided to throw that idiot out of the Labour Party deserves a pat on the back) Left Foot Forward really needs to get a grip.

    There are bigger issues to be discussed and one’s that are directly applicable to the Labour Party yet there is no mention of them. Come on guys.

  • http://twitter.com/diablox43/status/27813481040 dean raybourne

    RT @TalOfer: RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • http://twitter.com/diablox43/status/27813503831 dean raybourne

    RT @vidalconsulting: Osborne, Mitchell and Hammond accused of tax avoidance | Left Foot …: A British Virgin Islands company won't pay… http://bit.ly/ahHJSy

  • http://twitter.com/diablox43/status/27813508064 dean raybourne

    RT @cylinderhead: They make benefits cheats look like saints. RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • RedfishUK

    Yes tax avoidance is not illegal, however it was the coalition’s Danny Alexander who stood up and said it was unethical and he in his own words was raising the bar of what was acceptable.

    So it isn’t this site or the ‘left’ that is branding George Osborne as unethical but a senior member of the coalition government.

    So the question is does the coalition think avoiding tax is ethical or unethical. The vast majority of people in this country pay PAYE and have no oppotunity to avoid their responsibilities, the very people that could be receiving additional tax demands because HMRC got their tax codes wrong.

    Tell these people that it is fair to stop the Child Benefit payments of single wage families on higher tax band wages, to save £1bn while at least £19bn pours out of the system into the pockets of the super rich and their well paid advisors.

    We’re all in this together – yeah right!

  • NickSmeggHead

    I see lots of Tory trolls from Central Office are out in force trying to justify tax avoidance.

    I see Osborne saying something about benefit cheats are mugging taxpayers. What about the tax avoiders aren’t they mugging the tax payers?

  • http://twitter.com/maczar12/status/27815803550 Maureen Czarnecki

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • Bryan Cooper

    All the huffing & puffing about this programme it comes down to one simple fact. Senior Tories have YET AGAIN been caught with their trousers down.
    How can you tell people that their standard of living is under threat, whilst using such tactics to sustain their own.
    “We are ALL in this together”, absolute & utter HYPOCRISY.

  • http://twitter.com/alconcalcia/status/27818109003 Alasdair Murray

    Didn't Osborne say we're all in this together? His family has set up offshore trusts to avoid paying inheritance tax http://bit.ly/cvowlf

  • John Lees

    Tax avoidance is LEGAL. Tax evaision is not. As it is legal people are intitled to use it. Don’t complain that people avoid tax complain about the rules if you think they are unfair and sugest ways to change them that don’t damage our economy in teh process. Personally I am glad that people clever enough to do his own tax planning are in the Government.

  • John Lees

    NickSmeggHead – I repeat it is legal so needs no justification. If you don’t like the rules suggest a way to change them. Are there any other legal things that you feel need vilification?

  • John Lees

    As long as there are tax rules people will seek to minimise their tax bills and so ‘avoid’ tax. Perhaps people should be forced to think of ways to maximise their tax bills on pain of imprisonment – that is the gist of what some of you say you want. Better to lower, uncomplicate and flatten tax so tax planning is no longer needed.

  • RedfishUK

    John Lees – it’s not us you need to convince but Danny Alexander, he should be easy to find he works in the Treasury for George Osborne. He thinks that tax AVOIDANCE is unethical, do the rest of the government agree???

  • http://twitter.com/elbojo/status/27820966133 Elena Blackmore

    The coalition's talk of fairness again shown to be pretty empty – Dispatches on tax avoidance http://goo.gl/1fOT @leftfootfwd

  • John Lees

    I think Alexander also does not understand the difference between avoidance and evasion. But then again he is a PR operative not an accountant. Come up with positive suggestions rather than political attacks.

  • Hengist Pod

    It’s no wonder the Tories got in (just) with all these half-wit posters voting for them. The point here is that they’re not just rank and file members of the super-rich but Government ministers who are telling us how we all need to tighten our belts and accept the drastic cuts that must be made. It is a perfect definition of the word ‘hypocrisy’.

  • Mr. Sensible

    John, Alexander is Osborne’s righthand man.

  • Anon E Mouse

    NickSmeggHead – Why aren’t you screaming about the Miliband’s and their property tax avoidance?

  • John Lees

    Hengist Pod – would you voluntarily pay more tax than you have to – or is this something for other people to do?

  • NickSmeggHead

    Anon E Mouse – When your party leaders tells us “we are all in together” why are they not paying their fair amount of tax? It does not matter which party they belong to, the tax avoidance is simply unethical!

  • http://twitter.com/jodatu/status/27827246974 John Turner

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance: http://bit.ly/ak0h6K – watch @C4Dispatches tonight at 8

  • Bill Cunningham

    Good god. The morally bereft Tories are on here in force.

  • John Lees

    Mr Mouse – it is a fair amount of tax – it is legal. All companies and individuals try to plan/avoid tax. Suggest how to change the law if you don’t like it.

  • Jack Smith

    So many uninformed (or politically motivated) comments – and not helped by the clueless remarks of Danny Alexander & Co, who should know better..

    Avoidance is not illegal, including:
    - claiming legitimate travel expenses against salary and income,
    - claiming your free pay allowance,
    - claiming a legitimate benefit,
    - saving money in an ISA,
    - generally, paying a dividend rather than salary, if you are a shareholder of your own small company,
    - giving money to the children more than 7 years before you die, etc.
    These are all perfectly legitimate ways of reducing your (or your estate’s) tax or not paying more tax than you need to.

    Evasion is always illegal. This is not a debate – it is a matter of definition, whatever nonsense you may read elsewhere…

    If you morally want to claim (for yourself) that avoidance is wrong, then please lead the way and simply contribute more than your fair share to HMRC, or better simply give to a worthwhile charity – they will make a much better fist of it!

  • http://twitter.com/cllrcowley/status/27832671459 James Cowley

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • Liz

    Tax avoidance may be legal but Osborne and the government can close some of the loopholes so that the country does not lose so much of the taxes specially when ‘we are all in this together’. They are a bunch of unpatriotic hypocrites.

  • http://twitter.com/gemmatumelty/status/27832990930 gemma tumelty

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • John Moore

    Well done Left Foot Forward. The truth really hurts, judging from the number of rabidly defensive tory apologists biting back. We all know evasion is illegal and avoidance is legal – it’s Politics 101. Being married and sleeping around is not illegal but it’s not the sort of conduct we expect from politicians. Avoidance is also extremely hypocritical when the avoider is a Chancellor of the Exchequer who is hell-bent on making poor people pay for a financial crisis caused by the greed of bankers. We are most definitely NOT “all in it together” as the avoidance behaviour underlines. Keep up the good work!

  • John Lees

    Jack Smith – at last someone who understands the semantics. The problem is tax is complicated, lazy jounalists stir up indignation and polititians such as Alexander pander to it (or more probably also don’t understand). If there is an area of avoidance that is thought unfair people should campaign to change the law. Better still make tax planning unnesesary by simplifying the tax code – all tax accountants can then do something more usefull!

  • RedfishUK

    John Lees

    OK let’s make things fairer/ simpler

    Scrap National Insurance and raise the Income tax rates to accomodate this.
    All income to be taxed at Income tax rates the same wages/ dividends
    All assets transferred between generations to be taxed at point of transfer at income tax rates, with each person having a lifetime allowance.

    Work with other major developed economies G20 to close down Tax Havens, and ensure companies pay tax in the country where the profits originated.

  • http://twitter.com/westernshores/status/27838781124 Pen

    RT @gemmatumelty: RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • http://twitter.com/hampshire_hippy/status/27839085728 Hampshire Hippy

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • Hengist Pod

    In answer to John Lees, no of course I don’t want to pay any more tax than I have to but that is not the point. I am not a Governmnet Minister who spouts drivel about everyone having to make a sacrifice while their sizeable nest eggs are tucked safely away from the clutches of the taxman by creative accounting or invested abroad. The super-rich elite are getting progressively richer and with 20 or so millionaires in the cabinet they are the self-same hyporites who are telling the rest of us how much poorer we are going to have to be while they carry on getting richer. I tell you what, I admire the French for taking a stand against the kind of c**p we just put up with on a daily basis. In fact maaybe it’s time to bring back some of that country’s more revolutionary ideas from a few centuries back, there’s certainly a few heads I can think of that could do with being despatched by the guillotine.

  • Jack Smith

    @ John Lees..

    “If there is an area of avoidance that is thought unfair people should campaign to change the law. Better still make tax planning unnesesary by simplifying the tax code – all tax accountants can then do something more usefull!”

    Couldn’t agree more!! It’s the continued tinkering and attempted closing of loopholes that have contributed to the bigger mess. Simplifying it is the obvious route, but very few politicians (of any political colour) seem to have the courage..

  • John Lees

    Redfishuk – your fist two ideas are very sensible and should be implemented. (Only problem would be pensioners do not pay NI at present so would need an exemption). Taxing all transfers between generations might be possibly but a little impractical, (you already pay CGT on transfers of assets) Income tax is also lower than IHT for many people. Taxing profits where they are made is also a good idea (and largly done already), although there are technical problems. Incidentally we tax the worldwide income of some multinationals in the UK subject to tax credits – would want that to continue. As for taxhavens – difficult to target directly (would look like colonial bullying), best to target their use in the UK.

  • http://twitter.com/jannyjan1/status/27871514022 janice ware

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • Wiliam Pim,

    We are all in this together, but some of us are less in it than others – actually hardly in it at all.

  • http://twitter.com/duncankeeling/status/27912554771 Duncan Keeling

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • http://twitter.com/domfurniss/status/27915708070 Dominic Furniss

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://bit.ly/aC27fc

  • http://twitter.com/shamikdas/status/27921451982 Shamik Das

    Question on Tory tax avoidance at #PMQs! See http://bit.ly/ak0h6K for more

  • http://twitter.com/vanbadham/status/27941653746 Van Badham

    … And George Osborne, millionaire Chancellor of the UK, CHEATS his TAX. http://bit.ly/duNiW0. Do something about it: http://bit.ly/aezLzj

  • http://twitter.com/stephenmilward/status/27949110139 Stephen Milward

    The Tory cuts show that they are still the nasty party, now with the LibDem liars. Does Osbourne pay his taxes? http://bit.ly/asWCC2

  • http://twitter.com/raymond_mcfee/status/27949369395 Raymond Mcfee

    RT @stephenmilward: The Tory cuts show that they are still the nasty party, now with the LibDem liars. Does Osbourne pay his taxes? http://bit.ly/asWCC2

  • http://dnmufc.wordpress.com/2010/10/20/a-crackdown-on-tax-dodgers-will-help-the-poor-and-make-huge-cuts-unnecessary/ A crackdown on tax dodgers will help the poor and make huge cuts unnecessary « Dnmufc's Blog

    [...] tax. The Channel 4 television programme Dispatches on Monday accused three cabinet ministers of tax avoidance – Osborne, international development secretary Andrew Mitchell and transport secretary Philip [...]

  • http://www.petforums.co.uk/general-chat/127893-only-2-days-left-anyone-scared-16.html#post1913640 Only 2 days left…is anyone scared? – Page 16 – Pet Forums Community

    [...] by RAINYBOW Remember they are clamping down on Fraud and Tax Evasion too lmao…like this? Osborne, Mitchell and Hammond accused of tax avoidance | Left Foot Forward __________________ http://firemanswedding.weebly.com/si…-petition.html&lt;&lt; PLEASE SIGN [...]

  • Well Actually

    The Tax Justice Network estimates that £25 billion is lost annually in tax avoidance and a further £70 billion in tax evasion by large companies and wealthy individuals. An additional £26 billion is goes uncollected. That’s £121 BILLION, which is about 75% of the annual UK deficit.

    We’ve been told we have to have cuts in health services, education, welfare and child services and that “we’re all in it together”. With Government ministers avoiding paying their fair share, it really doesn’t seem like it.

  • http://twitter.com/pccm2/status/27981515216 Peter Marshall

    RT @vanbadham: … And George Osborne, millionaire Chancellor of the UK, CHEATS his TAX. http://bit.ly/duNiW0. Do something about it: ht …

  • http://www.leftfootforward.org/2010/10/commitment-to-ring-fence-uk-aid-welcome-but-questions-remain/ Commitment to ring fence UK aid welcome but questions remain | Left Foot Forward

    [...] Mitchell and chancellor George Osborne have been accused of tax avoidance themselves – Channel 4’s Dispatches revealed on Monday that Mr Mitchell has invested at least £130,000 in offshore investment funds, [...]

  • http://www.leftfootforward.org/2010/10/look-left-csr-leaves-britain-a-colder-crueller-country/ Look Left – Britain is a “colder, crueller country” | Left Foot Forward

    [...] On Monday, the issue of Tory tax avoidance reared its head. Channel Four’s Dispatches programme accused chancellor George Osborne, [...]

  • http://www.leftfootforward.org/2010/10/nick-clegg-desert-island-discs/ Clegg’s fave tune: Life on Mars – a barren, inhospitable world… | Left Foot Forward

    [...] know, maybe Belize, the Cayman Islands or the British Virgin Islands – I hear some of Clegg’s Tory chums can fill him in on that) and spin some [...]

  • http://twitter.com/shamikdas/status/28984398548 Shamik Das

    Alexander: "We're clamping down on tax avoidance… There's no place for tax cheats in our society" What abt Osborne?! http://bit.ly/ak0h6K

  • http://buddyhell.wordpress.com/2010/10/30/gideon-osborne-tax-dodger/ Gideon Osborne: tax dodger « Guy Debord's Cat

    [...] imagine my surprise when I discovered not only do some ministers like Andrew Mitchell find ways to avoid paying tax but our own dear Chancellor avoids it too. To tell you the truth I wasn’t surprised at all, I was being [...]

  • http://twitter.com/borneoduweb/status/29357457201 albert borneo

    UK Georges Osborne le chancelier de l'échiquier exploite au mieux pour sa part les niches fiscales http://goo.gl/1fOT

  • http://channel4 louis

    dear mr burgloe et all.
    ‘tax evasion is obviously legal’!!! please check the facts. tax evasion is ILEGAL. tax planning and tax avoidance is LEGITIMATE AND LEGAL.
    and what is wrong if a number of ministers are wealthy, inherited or achieved? is poverty now a pre condition for government? it just breeds temptation for mp s to fiddle and abuse. is that a good thing? is corruption in post blair rip off britain an objective to follow?

  • http://www.leftfootforward.org/2011/01/mail-and-telegraph-pull-anti-tax-dodging-ads/ Mail and Telegraph pull anti-tax-dodging ads | Left Foot Forward

    [...] asking if he is “the dodgiest dodger of them all”. In October, Left Foot Forward reported that Mr Osborne was one of three cabinet ministers who stood accused avoiding millions of pounds in [...]

  • http://www.bobpiper.co.uk/2011/01/making-their-sacrifices/ Making their sacrifices | Councillor Bob Piper

    [...] avoided a whopping great tax bill, eh? More details on the Tories leading from the front here. This entry was posted in Uncategorized. Bookmark the permalink. ← Ten years and going [...]

  • Carol

    Thanks for all the comments, it has helped me understand the issue a lot more, and I have written (rather late admittedly) to my Tory MP saying how unfair it is that public sector workers will lose their jobs while the super-rich stash their cash abroad.

  • http://kieranburn.wordpress.com/2011/04/03/on-belonging-to-a-lost-generation/ On belonging to a lost generation « Kieran Burn

    [...] of the Exchequer himself, the very man responsible for executing these savage cutbacks – allegedly being complicit in a bit of it themselves. Oh, but it’s all perfectly legal, of course. The Black Block were responsible for much of the [...]

  • http://kieranburn.wordpress.com/2011/03/30/on-belonging-to-a-lost-generation/ On belonging to a lost generation « Kieran Burn

    [...] of the Exchequer himself, the very man responsible for executing these savage cutbacks – allegedly being complicit in a bit of it themselves. Oh, but it’s all perfectly legal, of course. It would be, wouldn’t it? The Black Block [...]

  • http://www.thebadgeronline.co.uk/?p=10690 On belonging to a lost generation – Kieran Burn | The Badger – USSU

    [...] of the Exchequer himself, the very man responsible for executing these savage cutbacks – allegedly being complicit in a bit of it themselves. Oh, but it’s all perfectly legal, of course. It would be, wouldn’t it?  The truth is [...]

  • http://www.leftfootforward.org/2011/06/glasto-where-the-tax-dodgers-are-named/ Glasto, where the tax dodgers are named | Left Foot Forward

    [...] paying their fair amount of tax, to help the people who made their success possible. But when our elected officials feel confident enough to brazenly avoid tax while telling us ‘we are all in this [...]

  • http://twitter.com/shamikdas/status/106729012377829377 Shamik Das

    Ever wonder why Osborne's so reluctant to tackle tax dodging?! See http://t.co/MAItzvP and http://t.co/Eq4eCaT

  • http://twitter.com/kevinmckeever/status/106729125150068736 Kevin McKeever

    Ever wonder why Osborne's so reluctant to tackle tax dodging?! See http://t.co/MAItzvP and http://t.co/Eq4eCaT

  • Margot

    The focus on the idea that tax avoidance is legal and therefore justified is pretty terrifying. This sends out the message of ‘get as much as you can out of the system’ as long as you are technically within the letter of the law. Surely it is not much different to the expenses scandal? Many MPs were technically acting within the rules but their actions were considered outrageous.

    There is clearly a bigger moral and ethical problem within politics and our society to address.The legal system follows our social norms around right and wrong, and the flows of power running it. That is what needs to change.

  • http://twitter.com/bettygudrun/status/111660136245886978 Elizabeth Stirling

    Tax avoidance by members of The Cabinet; http://t.co/x6IQYBj

  • http://twitter.com/etonoldboys/status/115398974051057664 Dave Camoron

    RT @EtonOldBoys: Hello There, Osborne, Mitchell and Hammond accused of tax avoidance http://t.co/RaesQCjI
    This should help Danny Alexander..

  • http://twitter.com/neilmckt/status/115399624168177665 Neil McLintock

    RT @EtonOldBoys: Hello There, Osborne, Mitchell and Hammond accused of tax avoidance http://t.co/RaesQCjI
    This should help Danny Alexander..

  • http://twitter.com/salardeen/status/115400197974134784 salardeen

    RT @EtonOldBoys: Hello There, Osborne, Mitchell and Hammond accused of tax avoidance http://t.co/RaesQCjI
    This should help Danny Alexander..

  • http://twitter.com/carcassian/status/115400380128567297 The Carcassian

    "We're all in it together" (Unless you're a cabinet minister) http://t.co/FY9DSG1w

  • http://twitter.com/drswaff/status/115400769951375360 David Swaffield

    RT @EtonOldBoys: Hello There, Osborne, Mitchell and Hammond accused of tax avoidance http://t.co/RaesQCjI
    This should help Danny Alexander..

  • http://twitter.com/crowmogh/status/115407563964694528 Cookie Monster

    "We're all in it together" (Unless you're a cabinet minister) http://t.co/FY9DSG1w

  • http://twitter.com/wildkippers/status/115410009877250048 Huw Evans

    "We're all in it together" (Unless you're a cabinet minister) http://t.co/FY9DSG1w

  • http://twitter.com/wildkippers/status/115410190085525504 Huw Evans

    “@Carcassian: "We're all in it together" (Unless you're a cabinet minister) http://t.co/Wk2At6Qg” – Wouldn't have expected anything else

  • http://twitter.com/erskinehowcroft/status/115447522788515840 Erskine Howcroft

    Hello There, Osborne, Mitchell and Hammond accused of tax avoidance http://t.co/uo8bCKoB
    This should help Danny Alexander Tax Avoiders

  • http://twitter.com/lesa50/status/115449889734926336 lesa

    Hello There, Osborne, Mitchell and Hammond accused of tax avoidance http://t.co/uo8bCKoB
    This should help Danny Alexander Tax Avoiders

  • http://www.leftfootforward.org/2011/10/george-osborne-conservative-party-conference-speech-2011-race-to-the-bottom/ Osborne dreaming of a race to the bottom | Left Foot Forward

    [...] – or, let us not forget, with British territories like the Cayman Islands, a hotbed of tax evasion – by lowering business taxes, he is entering in a race that we can never [...]

  • http://www.leftfootforward.org/2011/10/exclusive-98-ftse-100-companies-addicted-to-tax-havens/ Exclusive: 98 of the FTSE 100 companies are addicted to tax havens | Left Foot Forward

    [...] Osborne, Mitchell and Hammond accused of tax avoidance – Shamik Das, October 18th [...]

  • http://www.leftfootforward.org/2011/11/out-of-touch-tory-backbenchers-grumble-over-inadequate-gbp65738-salary/ In touch?! Backbench Tories grumble over “inadequate” £65,738 salary | Left Foot Forward

    [...] Tory Osborne, Tory Mitchell and Tory Hammond accused of tax avoidance – Shamik Das, October 18th 2010 Share | Permalink | Leave a comment Comments [...]

  • http://www.leftfootforward.org/2011/11/tax-avoider-lord-ashcroft-gbp200m-st-helena-airport-international-aid/ £200m of aid budget to be spent on St Helena airport – after lobbying from Lord Ashcroft | Left Foot Forward

    [...] also: • Osborne, Mitchell and Hammond accused of tax avoidance – Shamik Das, October 18th [...]

  • http://twitter.com/lescromps/status/132510550281302016 Lescromps

    Osborne, Mitchell and Hammond accused of tax avoidance | Left Foot Forward http://t.co/W8gnHUzY #UKuncut

  • http://twitter.com/unolovelydebi/status/132512244192907264 Debi

    Osborne, Mitchell and Hammond accused of tax avoidance | Left Foot Forward http://t.co/W8gnHUzY #UKuncut

  • http://billrollinson.co.uk Bill Rollinson

    It is also fair to state that IF everyone was allowed to be self-employed the lower earners would end up paying LESS tax! Where would we be then? Who picks up the shortfall?

  • http://twitter.com/dianehain/status/144769045110075393 Diane Hain

    Osborne,Mitchell & Hammond accused of tax avoidance: http://t.co/hAlBdmiQ They can do as they like&but ordinary people pay PAYE on every £1

  • http://twitter.com/dd1958/status/144769576389967874 Denis donovan

    @dianehain "Osborne,Mitchell & Hammond accused of tax avoidance: http://t.co/kS6J1TAu #Compassionateconservatism.

  • Diane Hain

    We’re all in it together, but not for the multimillionaire & billionaire higher echelon including the very people imposing austerity and taking away from the poorest people in the country, the Government of the UK. The hypocrisy and deceit of these people living their ‘do what I tell you not what I do’ lives in their cozy exclusive circle of elites looking down their noses at the rest of us stuggling to make ends meet, whilst all the time they are up to the knees in their own dirty tax avoiding excrement. What a lot of assholes.

  • http://twitter.com/dianehain/status/144771180421840898 Diane Hain

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://t.co/2KGZJ0wm

  • http://twitter.com/crusader4animal/status/144794022555303938 Penny

    RT @leftfootfwd: Osborne, Mitchell and Hammond accused of tax avoidance http://t.co/2KGZJ0wm

  • http://twitter.com/dianehain/status/144894981537144832 Diane Hain

    @dianehain "Osborne,Mitchell & Hammond accused of tax avoidance: http://t.co/kS6J1TAu #Compassionateconservatism.

  • http://twitter.com/mutleyltfc/status/144901058949427200 *mutley*

    @dianehain "Osborne,Mitchell & Hammond accused of tax avoidance: http://t.co/kS6J1TAu #Compassionateconservatism.

  • http://twitter.com/redjodie1973/status/144910010332364800 Jo

    @dianehain "Osborne,Mitchell & Hammond accused of tax avoidance: http://t.co/kS6J1TAu #Compassionateconservatism.

  • http://twitter.com/biteback7/status/182755075867947008 Francis Francis

    @ChrisBryantMP and the final bit on the Tory tax dodgers http://t.co/GYIoF0w3 how can we trust this lot to close the loopholes? #budget2012

  • http://twitter.com/biteback7/status/182755704673808384 Francis Francis

    @TheDanWatson why does he do it then? http://t.co/GYIoF0w3

  • http://twitter.com/biteback7/status/182765853274673152 Francis Francis

    @NickyAACampbell why the Tories wont stop tax avoidance http://t.co/GYIoF0w3 @bbc5live

  • http://twitter.com/etonmessuk/status/182770225001926656 etonmess

    @colinrtalbot @patrickwintour Don't forget this look at Osborne's tax affairs from a while back http://t.co/4tEymHcR

  • http://www.leftfootforward.org/2012/03/budget-2012-george-osborne-tax-avoidance-morally-repugnant-james-caan-lord-ashcroft-sir-philip-green/ Budget 2012: Does Osborne think Caan, Ashcroft and Green are “morally repugnant”? | Left Foot Forward

    [...] his wife, who lives in Monaco, thus saving an estimated £285million in taxes? See also: • Osborne, Mitchell and Hammond accused of tax avoidance 18 Oct [...]

  • http://twitter.com/christhegoth/status/188595281175126016 Christian Wilcox

    @brickystan Now add this lot and…: http://t.co/DbvbI8Tx. They're all at it. Bloody #Torys. (@GavinBarwellMP @davidwhite020)

  • http://twitter.com/christhegoth/status/188595652912091137 Christian Wilcox

    @GilesBradshaw Compared to this lot @ken4london is small-fry: http://t.co/DbvbI8Tx. Enough said? (@croydonCF)

  • http://twitter.com/christhegoth/status/188596065090551810 Christian Wilcox

    As @croydoncf harass @ken4london for the odd cash job they forget Ca$hcroft & this lot: http://t.co/DbvbI8Tx. Oh dear… #Croydon #Labour

  • http://www.leftfootforward.org/2012/05/george-osborne-gsk-tax-avoidance-panorama/ Osborne allows tax avoiders to get away with murder – while you pick up the tab | Left Foot Forward

    [...] Slasher Osborne accused of £1.6m tax avoidance 18 Oct [...]