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Amount of uncollected tax rises to £35 BILLION - 7% of all tax owed still goes unpaid
Despite outrage at big firms not paying their way the amount of uncollected tax rises to £35BILLION
7% of all tax owed still goes unpaid despite years of anger about avoidance
http://www.dailymail.co.uk/news/article-2454179/Amount-uncollected-tax-rises-35BILLION.html#ixzz2hSp5eJd3
So, surprise, surprise, the Tories have done nothing in chasing down unpaid tax, tax avoidance. The unpaid tax figures have actually gone up.
7% of all tax owed still goes unpaid despite years of anger about avoidance
http://www.dailymail.co.uk/news/article-2454179/Amount-uncollected-tax-rises-35BILLION.html#ixzz2hSp5eJd3
So, surprise, surprise, the Tories have done nothing in chasing down unpaid tax, tax avoidance. The unpaid tax figures have actually gone up.
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Comments
How can it be owed if it's been avoided?
Because it's owed and the people and companies that owe it have simply not paid it.
It's not owed if it's been avoided. It's only owed if it's been evaded.
£35 billion in tax not collected
"Official estimates indicated £11.4 billion of VAT, £15.3 billion of income tax, £4.7 billion in corporation tax and £2.5 billion excise duties was not collected in 2011/12.
The HM Revenue and Customs' (HMRC) figures suggest £5.1 billion was lost to the Exchequer as a result of evasion, £4.7 billion as the result of criminal activity including fraud and smuggling and £4 billion through avoidance schemes."
http://www.belfasttelegraph.co.uk/news/local-national/uk/35-billion-in-tax-not-collected-29652944.html
should be taxed here
Sure, technically, legally.
But when you have people paying 1% tax or no tax at all despite living/trading in Britain it's wrong, outright wrong on every level.
The laws need changing, the loopholes need closing and the government is the sole responsible body for this.
If you don't want to pay British tax fine - but don't work or live here.
we'd have to find someone with the guts to do this though ..... know anybody?
Yes but the unemployed can't buy politicians like the rich can.
I agree. It's not right, companies *should* pay the tax that's intended - but the problem of avoidance is so vast and complex that's it's largely beyond our control now. These companies aren't breaking any law; quite the reverse, they're almost fastidious about operating within the law. The issue is that courtesy of trade agreements etc., those laws cross boundaries and they're able to select and choose those that serve them best. This is an international issue and any meaningful solution must address that. After many years of doing nothing about it, progress is finally being made on that front. I'm sure it'll take years - maybe even up to a decade - but one day these companies will fall in line with everyone else when it comes to paying tax.
so you want every workers tax free allowance removed - thus making the poorest earners even worse off.
no, but they (not all i may add) can and do vote for politicians who promise them the earth using other peoples money.
That's just shy of £13bn. Where's the rest of it gone then?
Probably a combination of genuine errors in reporting (which are often picked up on later), cash in hand / informal economy and losses when companies / individuals go bust owing tax / VAT.
Look what happened when they tried to close the VAT avoiding loophole exploited by supermarkets chains,Gregg's, etc..
Who was it that was opposed to it?
Also there are some British companies that pay tax here when selling products in counties that have higher tax rates.
Are they avoiding tax by being based here?
Some laws and loopholes can only be closed by international agreement, so the government is not "the sole responsible body for this"
That would fall under evasion then, no?
Good luck collecting most of that.
The percentage gap fell in this year too according to the link.
"The percentage tax gap has fallen very slightly from 7.3 per cent to 7 per cent over the same period."
I wonder how much of that £35b is part of the 30% the top earners are meant to be paying?
Can national governments ever be able to cope with people who do intend to not pay their tax?
Do we need to simplify the tax laws to get rid of the loopholes?
7% is a very high figure and even a small proportion of this could make a big difference to the lives of people who really need help with things such as heating bills and care costs. The offenders should hang their heads in shame.
For anybody that is interested, the breakdown is as follows:
VAT - £11.4bn (10.4% tax gap)
Excise Duties - £2.5bn (4.9% tax gap)
IT, NIC, CGT - £15.3bn (5.8% tax gap, including a 17.4% gap in self assessment)
Corporation Tax - £4.7bn (9.6% tax gap)
Other Taxes - £1.1bn (4.2% tax gap, including a 12% gap in IHT)
It is also worth noting that when these figures were initially issued last year they estimated the tax gap at 6.7% but they were revised up to 7.1%, so the 7% initial estimate figure may rise.
Right - I am sure "Vinnie" and his mates pulling the VAT fraud will die of shame!
As will the four mates how go over to France in a car and come back with a boot full of **** and booze because of "rip off Britain prices".
I am sure the small business owner who has just lost thier company will be even more distraught at the fact that not only has s/he lost their business, but should now hang their head that they cannot pay the corporation tax bill.
Just remember the next time offers you a "cash in hand deal" that you should be ashamed to even think about accepting it.
Would you support a policy in which Her Majesty's Inspectors of Taxes move almost 100% towards investigating the richest people in society? Everybody on modest income and not on PAYE will simply have their tax return accepted and rubber stamped.
After all - We are constantly being told that "the actual tax take is the only thing that matters".
Making excuses for these greedy, selfish individuals and companies, while choosing not to condemn such people, is not a position that I will ever stoop to. As I do not accept cash in hand deals then I have no need to feel any shame as, unlike some, I choose to abide by the law.
Unless you drastically simplify the system and remove all the allowances and loopholes introduced by various governments over the years (with generally good intentions), I would doubt that no matter how much money you throw at it you will not get the level of the tax gap down significantly.
Also you then run into international agreements - the Single Market being one, that increase the problem.