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It seems they will lie to you that the NHS is responsible for failures to contain the disease, when in fact the problems were caused by their own political decisions.
This Writer had a few things to say about that:
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Labour’s proposals follow the revelations of tax avoidance on a massive scale at HSBC Bank while it was run by Stephen Green – who later became a Conservative lord and minister [Image: Daily Mirror].
In a clear response to the HSBC tax avoidance revelations, Labour is setting out its plans to tackle the issue if elected into office after May’s general election.
With campaigners and non-government organisations calling for a “Tax Dodging Bill”, Labour has announced that its first Finance Bill will act to tackle tax avoidance – and was due to set out the measures in an Opposition Day Debate today (Wednesday, February 11).
Labour’s motion notes that just one out of 1,100 people who have avoided or evaded tax have been prosecuted following the revelations of malpractice at HSBC bank, which were first given to the government in May 2010, after the Conservative and Liberal Democrat government had taken office.
It also calls upon Lord Green and David Cameron to make a full statement about his role at HSBC and his appointment as a minister in 2011.
The proposed Finance Bill includes plans to:
· Introduce penalties for those who are caught by the General Anti-Abuse Rule
· Close loopholes used by hedge funds to avoid stamp duty
· Close loopholes like the Eurobonds loophole which allow some large companies to move profits out of the UK and avoid Corporation Tax
· Stop umbrella companies exploiting tax reliefs
· Scrap the “Shares for Rights” scheme, which the OBR has warned could enable avoidance and cost £1bn and is administered by HMRC, and so ensure HMRC can better focus on tackling tax avoidance
· Tackle disguised self-employment by introducing strict deeming criteria
· Tackle the use of dormant companies to avoid tax by requiring them to report more frequently
Labour’s measures to tackle tax avoidance will also include:
· Ensuring stronger independent scrutiny of the tax system, including reliefs, and the government’s efforts to tackle tax avoidance
· Forcing the UK’s Overseas Territories and Crown Dependencies to produce publicly available registries of beneficial ownership
· Making country-by-country reporting information publicly available
· Ensuring developing countries are properly engaged in the drawing up of global tax rules
Shadow Chancellor Ed Balls said: “David Cameron and George Osborne have totally failed to tackle tax avoidance in the last five years. They have failed to close the loopholes we have highlighted, and the amount of uncollected tax has risen under this government.
“I am determined that the next Labour Government will act where the Tories have failed. We will close loopholes that cost the exchequer billions of pounds a year, increase transparency and toughen up penalties – and we will act in our first Finance Bill.”
Shabana Mahmood MP, Labour’s Shadow Exchequer Secretary, said: “The Tories and Lib Dems should back our motion to show that they are serious about tackling tax avoidance and evasion. We have a clear plan for our first Finance Bill after the election – they need to back that or explain why they don’t.”
This is a terrific move by the Labour Party. It seems clear that Labour was planning to tackle tax avoidance in any case – and should gain recognition for that alone, after the Coalition Government spent the last five years blowing hot air at us and doing nothing.
But it’s not perfect. Richard Murphy, of Tax Research UK, wrote yesterday evening: “There is no commitment to extra funding at HMRC. Nothing will happen without that.
“There is no direct reference to the tax gap and making explicit that these issues are meant to close it. Whilst HMRC works with the current deficient version of the tax gap this problem cannot, again, be resolved.
“I want a general anti-avoidance principle, not a revised General Anti-Abuse Rule, but penalties sure as heck help.
“There is no mention of the extra resources needed to make sure Companies House works properly, which is as important as the changes in dormant company reporting.
“There is no mention of BEPS implementation or action on things like permanent establishment and controlled foreign companies.
“And there’s no Office for Tax Responsibility as yet (although the hint of one has, I note appeared, so I am hopeful).”
All these criticisms are valid and it is to be hoped that Labour will adapt its bill to accommodate them. Even if this does not happen, Mr Murphy himself adds: “Let me stop complaining for a moment because I will probably never be completely satisfied.
“This is a package that indicates commitment to listen and commitment to change. It is a package that looks across the board at the issues of concern. And it addresses a fair range of items into debate. I welcome that, of course. The devil is always in the detail but there is room for manoeuvre in here and many statements are moves in the right direction when those are sorely needed.
“That is what is needed for now, and I’ll take it at that level.”
Do any of the other parties have anything at all to say?
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