date: 4 September 2012
embargo: 00.01hrs Wednesday 5 September 2012
With tax avoidance by companies and the super-rich costing the public purse an estimated £25 billion a year, the TUC has today (Wednesday) published Kerching! - a spoof celebrity-gossip style magazine - to embarrass the government into acting against the celebrity tax dodgers who are only paying a fraction of the tax they should be.
Kerching! A Celebrity Guide to Tax Dodging lists the ten most popular ways which celebrities and corporations regularly employ to get around tax rules, including the use of offshore trusts, an over-enthusiastic use of Gift Aid and an extensive use of tax havens like the Bahamas, Mauritius and Panama.
The eight-page glossy also features ten steps the Chancellor could take this autumn to make tackling tax avoidance a key government priority, bring much-needed funds into the public coffers and help tackle the deficit.
Kerching! is calling on everyone, from low-paid cleaners and carers to celebrities who do pay their fair share of tax, to sign the TUC petition urging George Osborne to shut down the UK's tax loopholes at www.tuc.org.uk/kerching
Amongst the top ten tax-avoiding tips outlined in Kerching! for celebrities wanting to hide their dosh are:
Kerching! says that the domicile rule is the tax dodger's best friend. This allows super-rich individuals to live here, but by claiming the UK is not their natural home, place most of their income offshore.
The UK's tax residency rules are also much used by celebs, says Kerching! Anyone spending less than 90 days a year in the UK can claim to be a non-resident, and because the definition of a day for tax purposes is open to interpretation, top earners can be in the UK for up to four days a week, 40 weeks a year, and still avoid the tax man.
Commenting on Kerching!, TUC General Secretary Brendan Barber said: 'The overwhelming majority of people in the UK have little choice over the amount of tax they pay and unlike big corporations and super-rich celebrities don't have the means to employ expensive accountants to help them avoid paying their fair share of tax.
'Each year billions of pounds which the super-rich should be paying in tax leaves the country and is lost to the public purse. Meanwhile the government's insistence that rapid spending cuts are the only way to reduce the deficit, no matter what effect austerity is having upon the UK economy, means that it is ordinary families who are suffering, while those most able to afford to pay more get away virtually scot-free.
'The Chancellor has said he finds tax avoidance morally repugnant - so do we and that's why we want him to act. Closing down the multiple loopholes which super-rich celebrities and their accountants jump through on a regular basis could make a huge difference to our public finances and take the pressure off the little people who are bearing the brunt of the government's austerity measures.'
The ten simple steps the TUC's Kerching! says the government could take to crack down on tax avoidance include:
NOTES TO EDITORS:
- Kerching! A Celebrity Guide to Tax Dodging can be found at http://bit.ly/Qg7aeT
- The research for Kerching! was undertaken by independent tax specialist Richard Murphy.
- All TUC press releases can be found at www.tuc.org.uk
- Follow the TUC on Twitter: @tucnews
- Congress 2012 will be held at the Brighton Centre from Sunday 9 September to Wednesday 12 September 2012. The deadline for free media passes was noon on Wednesday 29 August. Credentials can still be applied for by completing the online form www.tuc.org.uk/mediacredentials but will now cost £50.
Liz Chinchen T: 020 7467 1248 M: 07778 158175 E: firstname.lastname@example.org
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Press release (1,000 words) issued 5 Sep 2012
This page http://www.tuc.org.uk/economy/tuc-21372-f0.cfm
printed 24 May 2013 at 02:50 hrs by 188.8.131.52