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Home > Ed Miliband promises to tackle tax evasion

Ed Miliband promises to tackle tax evasion

20th February 2015 | Published by Evolution Money

The shadow chancellor has promised that should Labour win the next election, the party will come down hard on what it calls ‘systemic tax evasion.’ His comments followed revelations that HSBC bank has helped hundreds of wealthy business men and women to avoid paying tax.

Ed Balls said that there is a clear difference between families who plan their tax affairs and those who arrange tax evading ‘false structures.’ Speaking on the Andrew Marr show on the BBC, he went on to accuse the coalition government of turning a blind eye to tax evaders.

Mr Balls pointed out that some schemes to lower taxes are legal, such as ISAs and tax relief for entrepreneurs, and that it is possible to reduce your tax bill to plan for your children and their inheritance when you die. However, he went on to say that those who set up false structures to reduce their tax bill or who move to Switzerland in order to avoid paying taxes altogether, need to be dealt with.

The shadow chancellor acknowledged that HM Revenue and Customs (HMRC), is currently under huge pressure because its staff has been reduced. But he promised that under a Labour government, HMRC would have the resources it needed to tackle tax evasion.

Labour leader, Ed Miliband, has said that his party would carry out a thorough review of HMRC because he felt it could do a much better job in tracking down those guilty of tax evasion.

Chief Secretary to the Treasury, Danny Alexander, has already revealed that he has asked HMRC if it requires extra powers or if there should be new laws, to enable it to tackle those conspiring to allow tax evasion. Danny Alexander was speaking on the Sunday Politics show on the BBC and promised to ensure that HMRC will have all the legal powers it needs.

Category: Money
This post was written by Evolution Money
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