Miliband pledges corporate tax avoidance crackdown

[AtW]

Labour leader Ed Miliband says he will write new rules to tackle corporate tax avoidance if he wins the next election, even without international agreement.

Prime Minister David Cameron will be trying to secure a deal on the issue at the G8 summit next month.

Mr Miliband told the Observer the government had "got to act" on the "massive" issue.

He said if no deal was done, he would order multinational firms to be more transparent about the money they make.

His statement follows the condemnation of Google's tax practices by MPs.

The Public Accounts Committee heard this week that Google paid £6m in corporation tax in 2011 despite sales of more than £3bn annually, as most sales are routed through Dublin.

Source: BBC News - Miliband pledges corporate tax avoidance crackdown

Even Miliband understands it's important to deal with the issue.

[d000hg]

Every politician wants companies to pay tax to the UK. Hardly any would want to change the rules if it would mean we get less tax... i.e. if we were a country where companies diverted taxes TO rather than FROM, it would suddenly not be so immoral.

[AtW]

Every politician wants companies to pay tax to the UK. Hardly any would want to change the rules if it would mean they get less donations and no cushy jobs after they quit public service...

FTFY

[centurian]

But when you look at the detail - he is promising to force companies to release a bit more information - not to do anything that actually forces them to pay any tax, maybe hoping that the release of such information will shame companies into coughing up.

Given that Google, Amazon and EBay are already completely unashamed about their activities, that's not going to make much difference, is it.

[AtW]

Given that Google, Amazon and EBay are already completely unashamed about their activities, that's not going to make much difference, is it.

Not a diddly squat.

[KentPhilip]

If companies have to pay tax, isn't it right that they should have votes in UK elections?
Corporate votes, if you like.

[xoggoth]

How is the Cayman Islands a tax haven when it's a British overseas territory?

[barrydidit]

How is the Cayman Islands a tax haven when it's a British overseas territory?

UK gvt is responsible for foreign policy and defence (AFAIK), outside of that they make their own rules. Same applies to Jersey, Guernsey and whatever the other overseas territories are.

Interesting point on the radio this morning relating to this. The interviewed guy (dunno who but this being General lets not worry about that) made the point that it would cost a lot of money to run these places if they weren't self financing through their tax haven status. UK gvt would be on the spike for that cost if they forced changes that reduced that tax take.

[d000hg]

Not a diddly squat.

At least he has a realistic view of his ability to make changes then.

[Doggy Styles]

"Labour leader Ed Miliband says he will write new rules to tackle corporate tax avoidance if he wins the next election, even without international agreement."

That will be interesting. Without international agreement they'll just carry on as before.

Mr Miliband told the Observer the government had "got to act" on the "massive" issue.

What, like trying to secure an international agreement at the G8 summit? Or has Ed got something else in mind?