Tax Dodge Investigators Funded By Labour Non-Dom

The Inspector Clouseau hacks over at The Bureau of Investigative Journalism have prided themselves in exposing tax avoidance over the last few months. In March they worked with Private Eye to reveal Vodafone had used Swiss bank accounts to exploit a loophole in tax laws, while they have even gone after the Guardian for saving millions in the Cayman Islands. To say they have had a holier-than-thou stance would be an understatement.

Funny then that TBIJ‘s founder and chief benefactor, Labour Party donor David Potter, is a tax avoiding non-dom. Potter has given some £2 million to TBIJ since 2010 despite the fact that he has allegedly used his non-dom status to avoid paying income tax. It seems TBIJ are against tax dodging unless it’s done by the man who bankrolls them… 

That HMRC Stasi Document in Full

Guido had to check he hadn’t woken up in some Stalinist dystopia when he read that HMRC have been telling school children to tell their teacher if they suspect that their neighbours have been dodging tax. Lesson plans suggested by the government include asking teenagers to name any examples of tax evasion they can think of from their local area:

Anyone seen Mr. Gauke recently?

David Gauke Worked For Tax Avoidance Firm

Exchequer Secretary David Gauke has some nerve doing the rounds on tax morality this week. Yesterday Guido brought you news of Gauke’s past avoidance of stamp duty and his wife’s job at a firm advising tax lawyers, while today the Telegraph and Mail both splash on his claim that paying tradesmen cash in hand is “morally wrong“:

“Getting a discount with your plumber by paying cash in hand is something that is a big cost to the Revenue and means others have to pay more in tax. I think it is morally wrong.”

Guido can now reveal that Gauke himself worked for a company that specialises in helping the wealthy avoid tax. According to Debretts between 1999 and 2005 – when he became an MP – Gauke was a solicitor at Macfarlanes, a top city law firm with expertise on tax efficiency. They boast on their website:

“The tax efficient structuring of employee incentive arrangements is often a key requirement for our clients to achieve their commercial objectives. We have particular expertise in the structuring of tax efficient equity based incentive plans. We are able to develop innovative solutions to the most complex tax issues when necessary.”

Tax efficient equity-based plans, eh? Like those used by investment bankers perchance? Gauke must have made a success of finding “innovative solutions” to reducing his clients’ tax bills as he appears to be held in high regard by his former colleagues:

Guido feels Gauke should look in the mirror the next time he thinks about lecturing us on the morality of taxation…

David Gauke’s Wife is Tax Avoidance Lawyer

This morning Guido named and shamed Treasury minister David Gauke – in his own words – as “morally repugnant” to be criticising others for their tax arrangements, but it doesn’t stop there. It turn’s out that Gauke’s wife Rachel is a professional support lawyer for Lexis Nexis, a company which boasts of its ability to “support every tax practitioner on the front line as they deal with the tax collector“. According to her personal profile Rachel “specialises in corporate tax law…and has advised on corporate restructurings, M&A, investment funds and finance“. Sounds like it an awkward weekend in the Gauke household…

Naming and Shaming the “Morally Repugnant” David Gauke

Exchequer Secretary to the Treasury David Gauke writing in The Times this morning says that they are going to name and shame tax dodgers. He also gives examples of what is fair and what is not:

Legitimate use of reliefs, for example taking out a tax-free ISA, is not tax avoidance. Buying a house for personal use through a company to avoid stamp duty, on the other hand, clearly is. Morally repugnant practices such as this are where the Government is cracking down.

 David Gauke MP claimed £10,248.32 expenses back from taxpayers to avoid paying the stamp duty and fees involved in the purchase of his home in London. Not only is that in his own words “morally repugnant”, it is beyond hypocritical to lecture others against doing what he himself did. It is shameless.

Tax Funded Union Research Backs Tax Funding of Unions

On the day that the consultation into union-leeches is launched, Unison have put out a report about facilities time. In a complete shock the union-funded research has found that unions taking money off  the taxpayer can only be a good thing. Needless to say it’s full of holes, but nice of them to show their hand…

Dave Prentis’ cronies are arguing that union bods in the workplace save money. This is fundamentally dishonest as it only takes into account one side of the picture. For every full-time pilgrim teacher, nurse or back-room pen-pusher that takes time off, the taxpayer has to pick up the tab twice by paying someone else to cover for them. For full-time pilgrims, the state ends up paying double the staffing costs.

This is not factored in to Unison’s hearsay case-study puff piece.

The consultation does not seek to end union officials being given time off, but the real question that needs to be addressed is why they should be paid out of public money when they are not on the job? Union members pay membership fees, the cost of pilgrims should be met from that.

It’s very simple.

UPDATE: It seems it is pilgrim day today. Cabinet Office sources are making all sorts of new information available this afternoon:

  • In one Whitehall department a staggering 2,660 Civil Servants were doing trade union work during their paid hours, including 563 trade union representatives working on Health & Safety, and another 387 on Skills and Learning.
  • A prison service official who worked 100% on trade union work was “promoted twice whilst in their trade union role, up to Grade 7 level” which can confer a salary of up to £61,038.
  • In contrast another 100% trade union representative in a different department earned less than £20,000.
  • In one department TU officials make up 4% of the overall workforce or 1 in 25 people.
  • One department admitted that “no formal allocations [had been] made or central records kept” of the amount of time spent by representatives on some union activity, while another confessed that “no central monitoring takes place”.
  • Only one department reported that they asked each representative “to apply to, and get the sign off from, the line manager in advance for the time they require” to take off – insisting that “reasonable notice (usually min 10 days)” must be given.
  • Several departments reported that they held “no central record” of the numbers of representatives working on Health & Safety or Skills & Learning.

Overall there are a staggering 10,000 civil servants doing trade union work during paid hours, that’s 1 in 40 of the total civil service workforce. Unbelievable… 

UPDATE II:

George Osborne Demands Hooker Goes Down
Chancellor is Super-Pimp

George Osborne’s Treasury has wreaked revenge on high-earning hookers after a £1,000-a-night tart was jailed over a £120,000 tax fraud. Donna Asutaits will go down for 16 months after being found guilty of evading taxes over a two year period in which she earned over £300,000. UKuncut will be happy…

Osborne is responsible for the HMRC cracking down on high-earning tax evaders, demanding that high-class call girls pay a whopping 45% of their earnings, making him the harshest and most lucrative pimp in Britain. Guido can’t imagine how George ever got involved in such a sordid business

Hollande Outflanks Cameron From the Right

France’s socialist president François Hollande visited David Cameron at Downing Street today, but the afternoon press conference turned into a bit of an embarrassment for Dave as his opposite number threw up a few surprises from the right of the PM. Not only did Hollande promise he wouldn’t tax second homes owned by Britons south of the Channel, but he taunted George Osborne’s top rate of income tax as too left-wing:

He’ll be calling for an EU referendum next…

Murdoch Men Mystified By News Corp Split

Guido hears that Rupert Murdoch’s decision to separate News Corporation’s money-making arm from its publishing arm left senior employees completely in the dark as to what lies in store for the future of the company. Chatting to News Corp employees […]

+ READ MORE +

Labour Tell Donors How to Dodge Tax Too

Yesterday it was the Tories advising their top donors on how to avoid tax through a controversial “legacy” scheme. The story had considerable traction and unsurprisingly provoked considerable outrage among Labour MPs:

[…]

+ READ MORE +

Tories Advise Top Donors How to Avoid Tax

Dave might think that Jimmy Carr is morally repugnant but that has not stopped the Tories from advising their wealthy donors on how to avoid tax. The Conservative Foundation, an organisation run by an array of Tory grandees and city […]

+ READ MORE +

Osborne Fuel-Turn Catches Greening By Surprise


Justine Greening to the Sunday Telegraph:

“The taxes that we get in fund the public services that we all rely on. Surely it’s better to challenge the petrol retailers to pass on reductions to motorists and actually I think

[…]

+ READ MORE +



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Quote of the Day

Adam Boulton says David Cameron campaigned as a neo-Thatcherite…

“The manifesto programme, with its sell-off of social housing, clampdown on public sector strikes, EU in/out referendum and benefit cuts, represents a much more traditional, neo-Thatcherite conservatism than that offered by Cameron Mk 1…”

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