Taxation. One Man’s Immoral is Another Man’s Business?

I do this for a reason. I want you to donate to a children’s charity and write to me. Please see the About Lesley page or read the instructions at the end of this post…..

Well, I say, what a furore. Twitter is agog, the news is playing David Cameron on a loop and everyone has an opinion. What larks.

It really is like a bad joke. Did you hear about the comedian who met his Accountant? He made him look like a pariah.

People are piling on the bandwagon to express their dismay at Jimmy Carr’s tax avoidance. David Cameron called his actions morally wrong. I nearly choked watching that segment of the news last night. As I understand it, there are many businesses who have had tax debts written down or off in negotiations with Mr. Cameron and HMRC so to call the actions of one person morally wrong doesn’t really sit well with me.

Jimmy Carr has now tweeted a statement to say the following:-

I appreciate as a comedian, people will expect me to ‘make light’ of this situation, but I’m not going to in this statement.

“As this is obviously a serious matter. I met with a financial advisor and he said to me ‘Do you want to pay less tax? It’s totally legal’. I said ‘Yes’.”

“I now realise I’ve made a terrible error of judgement.

“Although I’ve been advised the K2 Tax scheme is entirely legal, and has been fully disclosed to HMRC (Her Majesty’s Revenue and Customs).

“I’m no longer involved in it and will in future conduct my financial affairs much more responsibly. Apologies to everyone. Jimmy Carr.”

Mr. Carr is working to make the best of a PR nightmare. However, I point out a few of his words – ‘Although I have been advise the K2 Tax scheme is entirely legal’. And therein lies the rub.

HMRC and the Government know these loopholes are there. I am pretty certain that they also know many of those who use these loopholes. If that is the case, why have they not been closed? If I was extremely cynical I could say that they are convenient for friends but morally wrong for those who are not friends.

I believe in paying taxes, those taxes provide me with services and support those who don’t have employment due to circumstance, ill-health. I know many of you will say there are those who don’t want to and take advantage. Yes there are. I believe if you can work you should work and it doesn’t sit well with me that many ‘play the system’. However, many more have this support because they need it. It is not simple but it comes down to the same argument, loopholes need closed.

As for Mr. Carr? I don’t want to condemn him but I think he could have asked a few more questions when he agreed to his K2. I hope he goes back to his Accountant and HMRC and has a wee chat. Wouldn’t it be lovely if he was able to make some donations to charity from some of the monies saved? I think donating to a children’s charity would make him and everyone else feel better:) You knew I would say that, didn’t you?

I close, as always, with this:-

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Thank you for reading.

Lesley