Tax avoidance = benefit scrounging - according to Nick Clegg.
"Today Mr Clegg will accuse middle class earners who pay accountants to minimise their tax bills of behaving like ‘benefit cheats’.
He will say that legal tax avoidance and illegal evasion are ‘just as bad’ as falsely claiming benefits, adding: ‘Both come down to stealing money from your neighbours."
Sources at HMRC suggested that “voice recognition analysis”, which alerts investigators when a caller claiming benefits sounds nervous, could be used to identify those seeking to mislead tax inspectors.
So - Mr Clegg wants to make legally arranging your affairs an "offence" and in one speech insults an entire profession and vast numbers of small business owners.
"Voice recognition analysis" is not accepted in courts and is, at best, little better than witchcraft based upon highly questionable pseudo-scientific theories which have been discredited time and again in the courts (particularly in the USA). Despite this HMRC want to use it - which is one way of reducing phone calls because no sensible person would allow themselves to be falsly accused based on such mumbo-jumbo.
Clegg wants to harass innocent taxpayers, (particularly those with small businesses and paying the 50% tax rate), to intrusive investigations based on no facts whatsoever and actually wants to brand them as "criminals" for obeying the law.
I believe it is time the accountancy profession stood up to these bullying tactics and made it veery clear to government and to HMRC that we will not tolerate clients being harassed, villified, and threatened for doing what is totally legal.
- The return 685 26
- do you receive fewer phone calls than some years back because of emails 94 2
- break even point 1,081 32
- Takeover of Annual PAYE scheme 55 1
- HMRC Unpaid Debt Collector 131 4
- IHT Query 387 8
- Profit & Loss accounts filling when tax is withheld overseas 85 2
- Charity accounting 59 2
- Closing down - who should buy whom? 986 44
- IHT on offshore settlement 143 2
- Get it off your chest 145 2
- How best to declare a mistake on a tax return by previous agent 131 1
- Deferring taxable income until after 5 April 347 2
- Limited Company trading status. 322 8
- Payroll 176 6
- Classic cars investment 506 14
- Vat registration 170 5
- VAT ON MAINTENANCE PROVIDED TO ESTATE AGENT 101 3
- Partnership Tax Return £100 penalty-was a tax return due in this case? 213 6
- Deceased's Tax Return to date of death 226 2
- Possible Partnership? 549
- Lunatics in charge of the asylum - Bluestone 545
- Tax and accounting treatment on long lease granted from freehold 479
- New Fangled Penalties 345
- Clubs and Taxable Income 285
- Purchase of property freehold - capitalisation of costs 269
- Loans to other companies 214
- Closed PAYE schemes and auto enrolment 205
- Outsource Data Entry 172
- Lenovo – Superfish & Komodia – is your PC vulnerable 172