Jimmy Carr’s so called crime against the nation was that he merrily paid as much tax on his hard earned £3m as he ‘legally could’, rather than as much as he ‘legally should’.
This week we have had all heard the endless arguments in the media both ways, ‘we all pay indirect tax each day, so why not pay less direct tax legally if you can, and reduce the politicians ability to burden us with crass incompetent government’ …………. versus the moral emotive argument, ‘that we all must pay fairly according to our means, thereby reducing the individual thresholds and ensuring fair play for all, not just the lucky ones that can afford fancy tax advisors’.
The front Page of the Times on Friday [June 22nd] headline was Doctors and Dentists: the taxman will see you now. According to the article which dedicated the entire front page to the story, 1300 Doctors and Dentists are currently being investigated by the tax authorities amid suspicions that they are guilty of tax evasion. Recently released figures by HMRC show that circa £13.1m has been clawed back from just 2000 medical staff, with one Dentist allegedly repaying £300k.
It seems likely that the Government will ask HMRC to prioritize collection of the estimated £25 billion that is allegedly legally avoided, but with HMRC forced to reduce its team by 10,000 this year it is doubtful how effective the collection process powered by legislation will be.
So, where do you sit right now?
Are you a happy tax payer, feeling a sense of schadenfreude at the spectacle of the tricky players getting their comeuppance?
Or
Are you one of the free thinking brave and selfish that has dealt with the internal moral argument and pragmatically reduces your annual tax bill under the guidance of properly qualified compliant tax advisors?
Or
Are you undecided and confused?
If you are confused, then you urgently need some advice! Please talk to us…
Best wishes
JJF
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07860 672727