The PalArse of Westminster


Exposing the hypocrisy, greed and incompetence of our "respected" elected political "elite".

Thursday, 29 March 2012

Tory Tax Avoidance Hypocrisy

Last week in his Budget statement, George Osborne said:
I regard tax avoidance and, indeed, aggressive tax avoidance as incredibly repugnant.”
For good measure he added that the Government would come down “like a ton of bricks” on those who seek to avoid stamp duty.

Step forward Andrew Mitchell, the International Development Secretary, who invested funds in DV3 Ltd a network of privately owned firms which is now at the centre of a tax avoidance case.

One of the subsidiaries of DV3 Ltd purchased the lease on the Dickins & Jones department store building in central London in October 2006 for £65.1M.

A month later, the subsidiary sold the lease to a partnership, also controlled by DV3, for £65,100. The company maintained stamp duty was calculated on the lesser amount, reducing the rate from 4% to zero.

HMRC challenged the transaction alleging it was a case of “aggressive tax avoidance” but lost at a tax tribunal in February 2011.

It is appealing the decision.

Taxes are, after all, only for "little people" and pasty eaters!

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