Tax Dodger Street
Fight the tax dodgers
Much of the media and government’s rhetoric targets people on benefits as a focus for the cuts.
They label claimants as scroungers who fleece the country of billions to fund ‘extravagant’ lifestyles.
The reality is the tax gap, the amount of tax evaded, avoided and uncollected each year is £120 billion, while the CAB estimates that £16bn in benefits is unclaimed annually, and benefit fraud accounts for £1.2bn, according to the Department for Work and Pensions.
Tax Dodgers’ Street
Our tax dodgers’ street highlights the tax dealings of a number of high-profile companies:
- Barclays – 120 – the number of offshore tax havens the banking group has based in the Cayman Islands
- Boots – £1.12bn – amount the pharmacy-led health chain has avoided since relocating its head office to Switzerland in 2007
- Amazon – £2.4m – amount paid in UK corporate taxes by the online retailer’s UK subsidiary, despite making sales of £4.3bn
- Starbucks – 1 – Number of years the company reported a taxable profit in 15 years of operating in the UK, despite UK sales of £400m in 2011. It has also paid just £8.6m in corporation tax in its 14 years of trading in the UK, and nothing in the last three years
- Vodafone – £5bn – sales made by the communications giant in 2012/13 but despite an operating profit of £294m, it has paid no UK corporation tax for the second year in a row and owes HMRC an estimated £1.25bn.
We believe the focus should be on increasing funding in HMRC, fighting tax dodgers and closing the tax gap, not victimising the poorest people in society.
HMRC needs resources to deliver a fair tax system yet jobs continue to be cut and the closure of all 281 of its local enquiry centres has been announced for the end of June 2014.
This will mean more than 2.5 million pensioners, vulnerable workers and tax credit claimants will lose a vital service.