FabSwingers.com forum: Tax avoiding

By *ab_Sparkles OP Woman
over a year ago

sparkle Surprised

I read that in 2020 that tax avoiding will no longer be possible and that is a main reason why Johnson is desperate to get us out of the eu.

I have no other information on it, but be interesting to know if this is actually the case.

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By (user no longer on site)
over a year ago

"I read that in 2020 that tax avoiding will no longer be possible and that is a main reason why Johnson is desperate to get us out of the eu.

I have no other information on it, but be interesting to know if this is actually the case. "

No it's not true. It would take decades to close all the current means of avoiding tax as most of it is via legal loopholes rather than illegal practice. Also, once you create new laws, you often find that there are unforseen ways to work round them.

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By *oi_LucyCouple
over a year ago

Barbados

"I read that in 2020 that tax avoiding will no longer be possible and that is a main reason why Johnson is desperate to get us out of the eu.

I have no other information on it, but be interesting to know if this is actually the case. "

Yes, it is true. Sort of. Tax avoidance will always be possible but a set of laws (some already in place) are coming in to make it harder.

In short it is laws that homogenise treatment of certain financial instruments across the EU so that it makes it harder for companies and individuals to move wealth and profits to more favourable jurisdictions.

-Matt

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By (user no longer on site)
over a year ago

"I read that in 2020 that tax avoiding will no longer be possible and that is a main reason why Johnson is desperate to get us out of the eu.

I have no other information on it, but be interesting to know if this is actually the case. "

Sceptical : the elites are the ones with the means of tax avoidance. The government and politicians and their chums belong to the elite

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By (user no longer on site)
over a year ago

The EU announced back in 2014 that it will be closing many loopholes regarding tax, meaning the rich and corporate billionaires would have to start paying in their respective country. They gave notice that this new law comes into affect in 2020.

Curiously it's also around the same time the UK media decided that we had a problem being in the EU.

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By *lem-H-FandangoMan
over a year ago

salisbury

Bad news for thousands of ltd companies. Bad news for the uk's fluid, skilled temporary work force.

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By (user no longer on site)
over a year ago

"I read that in 2020 that tax avoiding will no longer be possible and that is a main reason why Johnson is desperate to get us out of the eu.

I have no other information on it, but be interesting to know if this is actually the case. "
.

Who for?.

The poor the middle class and the wealthy, probably, the Uber wealthy and multinationals, not a chance.

Case in point was Apple and the Irish government, even after the EU made them pay tax the Irish government just crumpled and said nah it's ok because we can't take the chance you'll just pack up and fuck off with your company and your jobs and your building rental.

It's possibly easier to coherence them into spending profit on extra jobs, r&d, infrastructure rather than dividends via tax laws than get them to pay it to the exchequer, it would have similar effects of redistribution.

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By (user no longer on site)
over a year ago

"I read that in 2020 that tax avoiding will no longer be possible and that is a main reason why Johnson is desperate to get us out of the eu.

I have no other information on it, but be interesting to know if this is actually the case. "

Where have you been hiding for the past four years?

Tax avoidance for these people is one of the corner stones of Brexit.

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By *ethnmelvCouple
over a year ago

Cardiff

"Bad news for thousands of ltd companies. Bad news for the uk's fluid, skilled temporary work force. "

They’ve done well enough for long enough! People should pay their tax, avoidance these days is a lot closer to evasion...

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By (user no longer on site)
over a year ago

I ripped this straight from the full fact website, might be helpful to some on here.

So these policies are about tightening up “systemic issues” to do with tax law in EU countries, to make it harder for companies to practice what the EU calls “aggressive tax planning”.

Most of these policies are already in place

Three of the five provisions of the new tax avoidance directive are already in place, with EU countries (including the UK) having to adopt them by 31 December 2018.

HMRC told us that the new EU rules on interest restriction and the general anti-abuse rule led to no changes in the UK, because the UK’s existing rules already met or exceeded the minimum standards set.

There were some minor changes made to controlled foreign companies rules, but none were expected to have any significant impact on individuals or the economy.

The two EU provisions not yet in place are on exit tax and hybrid mismatches. The UK must meet the EU’s new standards on these by the start of 2020.

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By *lem-H-FandangoMan
over a year ago

salisbury

"Bad news for thousands of ltd companies. Bad news for the uk's fluid, skilled temporary work force.

They’ve done well enough for long enough! People should pay their tax, avoidance these days is a lot closer to evasion..."

I expect, coupled with IR35. Most will either look for permanent jobs or go paye. Interesting times.

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By (user no longer on site)
over a year ago

"I read that in 2020 that tax avoiding will no longer be possible and that is a main reason why Johnson is desperate to get us out of the eu.

I have no other information on it, but be interesting to know if this is actually the case.

Where have you been hiding for the past four years?

Tax avoidance for these people is one of the corner stones of Brexit."
.

This bit definitely applies to this guy's post.

There were some minor changes made to controlled foreign companies rules, but none were expected to have any significant impact on individuals or the economy.

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By *ara JTV/TS
over a year ago

Bristol East

Yes, the EU is bringing in new regs to clamp down on tax avoidance.

UK is one the leakiest places in Europe for tax because its territory houses so many offshore tax havens.

That said, I have never been one to subscribe to the idea that this is the motivation for Brexit.

For a few, perhaps. But it would be the mother and father of all conspiracies if the few were manipulating the many.

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By (user no longer on site)
over a year ago

"Yes, the EU is bringing in new regs to clamp down on tax avoidance.

UK is one the leakiest places in Europe for tax because its territory houses so many offshore tax havens.

That said, I have never been one to subscribe to the idea that this is the motivation for Brexit.

For a few, perhaps. But it would be the mother and father of all conspiracies if the few were manipulating the many."

If you follow the money (as journalists used to say). It's pretty easy to find the main motivations behind brexit.

From the ERG lot, it's not just about making money from currency trading on the falling value of the pound. It's being able to continue to avoid paying tax on their offshore registered corporations. One of many factors.l, for sure. But definitely part of the reason they pushed so hard for Brexit and the switched to push for the hardest brexit possible.

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By *coptoCouple
over a year ago

Côte d'Azur & Great Yarmouth

(i) The European Commission is finalising legislation to establish a Common Consolidation Corporate Tax Base (CCCTB), designed to set up a common tax calculation system for multinational companies operating in the EU.

(ii) It will NOT affect Member States’ own tax regimes for individuals, i.e. you and me.

(iii) It WILL affect multinational companies, in particular US ones.

QED

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By *ab_Sparkles OP Woman
over a year ago

sparkle Surprised

Thank you so much for helping me understand what the comment i saw was about. I dare not ask on fb the abuse you get most of the time it's worth the hassle.

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By *iltsguy200Man
over a year ago

Warminster

"Yes, the EU is bringing in new regs to clamp down on tax avoidance.

UK is one the leakiest places in Europe for tax because its territory houses so many offshore tax havens.

That said, I have never been one to subscribe to the idea that this is the motivation for Brexit.

For a few, perhaps. But it would be the mother and father of all conspiracies if the few were manipulating the many."

This is from the politico website, it appears we’re not as leaky as some of our European neighbours,

The full ranking of the world’s top offenders is: (1) Bermuda; (2) the Cayman Islands; (3) the Netherlands; (4) Switzerland; (5) Singapore; (6) Ireland; (7) Luxembourg; (8) Curaçao; (9) Hong Kong; (10) Cyprus; (11) Bahamas; (12) Jersey; (13) Barbados; (14) Mauritius; and (15) the British Virgin Islands.

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By (user no longer on site)
over a year ago

"Yes, the EU is bringing in new regs to clamp down on tax avoidance.

UK is one the leakiest places in Europe for tax because its territory houses so many offshore tax havens.

That said, I have never been one to subscribe to the idea that this is the motivation for Brexit.

For a few, perhaps. But it would be the mother and father of all conspiracies if the few were manipulating the many.

This is from the politico website, it appears we’re not as leaky as some of our European neighbours,

The netherlands? That is surprising. Whats the article called?

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By (user no longer on site)
over a year ago

"Bad news for thousands of ltd companies. Bad news for the uk's fluid, skilled temporary work force.

They’ve done well enough for long enough! People should pay their tax, avoidance these days is a lot closer to evasion...

I expect, coupled with IR35. Most will either look for permanent jobs or go paye. Interesting times. "

In the case of single person LLCs the reason why many contract is because they are highly skilled and at the top of their game. These skills are highly sought after and in shortage in other countries who be more than happy to have them. Goodbye skills!!!

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By *ittleAcornMan
over a year ago

visiting the beach

"Yes, the EU is bringing in new regs to clamp down on tax avoidance.

UK is one the leakiest places in Europe for tax because its territory houses so many offshore tax havens.

That said, I have never been one to subscribe to the idea that this is the motivation for Brexit.

For a few, perhaps. But it would be the mother and father of all conspiracies if the few were manipulating the many.

This is from the politico website, it appears we’re not as leaky as some of our European neighbours,

Interesting comparing that list against the EU countries just vetoing the latest tax avoidance Directive. I'm sure there is no connection.

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By *ethnmelvCouple
over a year ago

Cardiff

"Bad news for thousands of ltd companies. Bad news for the uk's fluid, skilled temporary work force.

They’ve done well enough for long enough! People should pay their tax, avoidance these days is a lot closer to evasion...

I expect, coupled with IR35. Most will either look for permanent jobs or go paye. Interesting times.

Single person LLCs are right on the cusp of avoidance/evasion! Most people, many with great skills are employed as opposed to having the ability to avoid tax. If the demand is there, then businesses will employ as opposed to use contractors. The vast majority of contractors will not flee the country

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By (user no longer on site)
over a year ago

"Bad news for thousands of ltd companies. Bad news for the uk's fluid, skilled temporary work force.

They’ve done well enough for long enough! People should pay their tax, avoidance these days is a lot closer to evasion...

I expect, coupled with IR35. Most will either look for permanent jobs or go paye. Interesting times.

Let's imagine you are a company who plans to do an upgrade on part of your plant. It lasts 6 weeks and you don't have enough staff to cover the extra work. Do you then hire 50 people for 6 vweeks on a permanent basis and then fire them once the job is done?

Using a flexible labour for to right size your company to have enough staff to handle the busy times but not overstaff when business drops off.

Just because SOME contractors are employees who dodge tax it doesn't mean most of them are.

As a contractor I currently pay more VAT per quarter than I used to pay in NI and PAYE for an entire year.

IR35 throws the baby out with the bathwater.

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By *obka3Couple
over a year ago

bournemouth

Perhaps some of those folk complaining about others earning more should get themselves trained up for a better job.

Those on large incomes generally pay a lot of tax, unless they are breaking the law they pay what HMRC deems correct.

That said I believe those in the carer sector deserve better wages and those few at the top of companies should be limmited to a set multiple of the lowest wage paid to any employee within that company.

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By *ethnmelvCouple
over a year ago

Cardiff

"Bad news for thousands of ltd companies. Bad news for the uk's fluid, skilled temporary work force.

They’ve done well enough for long enough! People should pay their tax, avoidance these days is a lot closer to evasion...

I expect, coupled with IR35. Most will either look for permanent jobs or go paye. Interesting times.

Using a flexible labour for to right size your company to have enough staff to handle the busy times but not overstaff when business drops off.

Just because SOME contractors are employees who dodge tax it doesn't mean most of them are.

As a contractor I currently pay more VAT per quarter than I used to pay in NI and PAYE for an entire year.

IR35 throws the baby out with the bathwater. "

You also know that you can set expenses against your VAT and so can your ‘employer’. It is not a cost that affects you, it is a benefit to you. Your example of a 6 week activity is also flawed, if you need to recruit 50 people to do this then you would go to another company to do the work. They could specialise in this work and schedule the work to deliver at the right time for the client.

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By (user no longer on site)
over a year ago

"Perhaps some of those folk complaining about others earning more should get themselves trained up for a better job.

Those on large incomes generally pay a lot of tax, unless they are breaking the law they pay what HMRC deems correct.

What you're saying is true. The problem isn't that the higher earners don't pay tax. The problem is that not enough people earn enough money to pay tax.

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By (user no longer on site)
over a year ago

"Perhaps some of those folk complaining about others earning more should get themselves trained up for a better job.

Those on large incomes generally pay a lot of tax, unless they are breaking the law they pay what HMRC deems correct.

Its not often I agree with you but in this case your points about training, carers and limiting the earnings if those at the top of companies seems very valid. I have often wondered why more top earners dont get paid with some sort of bond scheme in the companies they work for instead of shares as that would encourage long term planning rather than short term preparation for taking the business to market....just a thought!

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By (user no longer on site)
over a year ago

"Perhaps some of those folk complaining about others earning more should get themselves trained up for a better job.

Those on large incomes generally pay a lot of tax, unless they are breaking the law they pay what HMRC deems correct.

Playing devils advocate. When people invest in themselves: pay for training, lose an income in that time, they need a return on that investment. To tax the extra income makes it not worthwhile.

How about this for a scheme: The government offers tax breaks to companies who pay their employees while they go on training and pay for the training too. Companies must keep a record of skills development and those who don't invest in their employees are fined.

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By *obka3Couple
over a year ago

bournemouth

Playing devils advocate. When people invest in themselves: pay for training, lose an income in that time, they need a return on that investment. To tax the extra income makes it not worthwhile.

Not sure if Ive missunderstood your post but costs for training are an allowable expense for companies, these days most firms have to do some form of training even if its just HSE or CPD stuff, I even have to do that for myself to keep a licence to do a job I have been doing for 40 years,

I have said for a long time we need to value some jobs far more than we do and give less importance to others, especially the ones that dont do much for the lives of the average person.

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By (user no longer on site)
over a year ago

Playing devils advocate. When people invest in themselves: pay for training, lose an income in that time, they need a return on that investment. To tax the extra income makes it not worthwhile.

I have said for a long time we need to value some jobs far more than we do and give less importance to others, especially the ones that dont do much for the lives of the average person.

I worked for a sytems integrator for 3.5 years and never once received any training. I was told that training me up just made me more marketable for other companies and they would end up spending money training up their competition.

Whatever policies are in place they obviously aren't enough incentive.

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By (user no longer on site)
over a year ago

My account has just phoned me up to tell me my business tax bill in January will be £30 000. This is beside my personal income tax.

IT35 wants to force me back into a position where I used to pay £4000 per year in PAYE.

I know I'm bad at math but when I pay more than the average national yearly income in tax in one month. .... and I get told I'm a tax dodger?????

Jeeeeeesh guys!

Like CCR sang:

And when you ask them how much should we give?

They only answer more more more!

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By (user no longer on site)
over a year ago

Sorry IR35

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By *lem-H-FandangoMan
over a year ago

salisbury

Get a better accountant...

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By (user no longer on site)
over a year ago

"My account has just phoned me up to tell me my business tax bill in January will be £30 000. This is beside my personal income tax.

IT35 wants to force me back into a position where I used to pay £4000 per year in PAYE.

I know I'm bad at math but when I pay more than the average national yearly income in tax in one month. .... and I get told I'm a tax dodger?????

Jeeeeeesh guys!

Like CCR sang:

And when you ask them how much should we give?

They only answer more more more!"
.

Business tax! Y'all from the south of the Maison Dixie line

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By (user no longer on site)
over a year ago

Vodafone has joined other companies in getting rid of all of its contractors whether they fall inside IR35 or not.

That puts paid to the argument that if you are a legitimate contractor you've got nothing to worry about.

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By (user no longer on site)
over a year ago

"My account has just phoned me up to tell me my business tax bill in January will be £30 000. This is beside my personal income tax.

IT35 wants to force me back into a position where I used to pay £4000 per year in PAYE.

I know I'm bad at math but when I pay more than the average national yearly income in tax in one month. .... and I get told I'm a tax dodger?????

Jeeeeeesh guys!

Like CCR sang:

And when you ask them how much should we give?

They only answer more more more!.

Business tax! Y'all from the south of the Maison Dixie line

Gran Canaria has Corporation Tax of 4%. The tax difference pays the entire costs of moving my business there with change to spare.

Maybe I should put global warming to good use and darken the tan on my butt

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By (user no longer on site)
over a year ago

"My account has just phoned me up to tell me my business tax bill in January will be £30 000. This is beside my personal income tax.

IT35 wants to force me back into a position where I used to pay £4000 per year in PAYE.

I know I'm bad at math but when I pay more than the average national yearly income in tax in one month. .... and I get told I'm a tax dodger?????

Jeeeeeesh guys!

Like CCR sang:

And when you ask them how much should we give?

They only answer more more more!.

Business tax! Y'all from the south of the Maison Dixie line

Gran Canaria has Corporation Tax of 4%. The tax difference pays the entire costs of moving my business there with change to spare.

Maybe I should put global warming to good use and darken the tan on my butt

It's a hard life for some

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By (user no longer on site)
over a year ago

"My account has just phoned me up to tell me my business tax bill in January will be £30 000. This is beside my personal income tax.

IT35 wants to force me back into a position where I used to pay £4000 per year in PAYE.

I know I'm bad at math but when I pay more than the average national yearly income in tax in one month. .... and I get told I'm a tax dodger?????

Jeeeeeesh guys!

Like CCR sang:

And when you ask them how much should we give?

They only answer more more more!.

Business tax! Y'all from the south of the Maison Dixie line

Gran Canaria has Corporation Tax of 4%. The tax difference pays the entire costs of moving my business there with change to spare.

Maybe I should put global warming to good use and darken the tan on my butt

It's a hard life for some

Damn I'd love to have beer. Still working

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