Reaction to today’s Public Accounts Committee report on tax avoidance
Dec 2012 03

Reacting to today’s Public Account Committee report on tax avoidance Matthew Sinclair, Chief Executive of the TaxPayers’ Alliance, said:

“Many taxpayers are angry seeing major international companies reduce their tax liability by taking advantage of the loopholes and reliefs which few ordinary taxpayers and British businesses can use. However it is politicians themselves who have created the complicated tax code which people can exploit. Draconian punishments for arrangements which the law doesn’t specifically prohibit would be unjust and impractical. If politicians are serious about doing something then they need to reform the tax system.”

Britain's independent grassroots campaign for lower taxes

  • John Moss

    You also need to point out that these companies have huge staff numbers and pay all their Ni and Income Tax from the “earnings” figures quoted. I calculate Amazon pay minimum £178 million on the 15,000 staff.

    • tinamac

      yes, and if people boycot amazon, they are only hurting the many small businesses and individual who are making a living only because amazon offer a very affordable payment portal which they couldn’t otherwise afford

    • Hartlepool

      No, the people/employees pay the tax/NI out of their salary, Amazon etc just pass it over to the goverment, same as VAT the customer pays the VAT, the only thing that they pay is employers NI which is less than employees NI anyway. Please remember that these companies are only taking the money from their employees and giving it over to the goverment.

    • Hartlepool

      Also please remember most of these people/families are on minimum wage and their salary also has to be topped up via the tax credit system.

  • Orac54

    Isn’t there a degree of irony in seeing Amazon etc lambasted by MPs so recently discovered fiddling their expenses, and accused of being ‘morally wrong’, when those companies are using EXACTLY THE SAME DEFENCE that those selfsame MPs used when discovered: “I have done nothing illegal.”

  • tinamac

    I was very dissapointed to hear that starbucks is speaking to the government about thier tax position which is perfectly legal. I feel another company is rolling over unecessarily – they should stick to their guns and keep pointing out just how much tax, in the form of employee/employer taxes, they pay. If UK companies can’t compete, the UK tax system should be simplified so they can – I am fed up with witch hunts and jealousy!

  • mekonista

    Blimey – who are you people?

  • lojolondon

    Sorry TPA – I am a big fan of your work, but this is very disingenuous. Amazon, Starbucks are absolutely following EU law by paying their full tax obligations in the country of their choice. WE signed up to those terms when we joined the EU. That is why I vote UKIP!

  • Antony B

    Complex tax systems lead to abuse and mistakes but fundamentally we are being soaked to support a bloated, inefficient public sector. There are a million public sector workers who could go tomorrow and things would run better. Billions wasted, mistakes like the Virgin fiasco go unpunished and they are ALL paid by private sector taxpayers who earn less than them. Flat transparent taxes would end avoidance and the HMRC army that bullies individuals and small UK companies and compromises with more powerful big players. Perhaps we could get some Egyptians and Syrians to help show us how to revolt. Antony B