Tomorrow is Budget Day in the UK. The Chancellor will have a difficult job to do. He will need to balance the books and try to please as many people as he can, especially traditional Tory voters. As any manager or boss will tell you though sometimes you have to be the role you are and are not able to play buddy. He is the country's Chancellor and needs to do whatever is right. He does not have to do whatever he thinks is right, but what IS right. Making the poorer people of British Society suffer so that the Wealthy can prosper is wrong on all levels. It will stifle the economy, create a bigger class divide and ultimately lose the Tories the election.
One area that has been under scrutiny in recent days and weeks is tax avoidance in the UK.
It has not been people simply not paying taxes but rather big corporations using legal loopholes to avoid paying tax in the UK. Held up as prime examples have been Starbucks and Google. The way they have managed their business affairs has meant that they have paid little if any tax in the UK. All perfectly legal right now, though many would say unscrupulous.
As Starbuck's cafes gradually fill the country small, local coffee shops are going to the wall. They of couse have no such legal loophole and pay through the nose to run a business. Business tax, council tax, national insurance, VAT and income tax will cost small businesses dearly.
Today another company was asked about its tax affiars. Travel firm TUI. In an interview a respresentative said that although the company made good profits in the UK this year they will not have to pay tax. This is because last year there was a loss and the company have spent money on restructuring. It seems that all of this has meant that TUI are laughing all the way to the bank.
Ask any small business owner in the UK how they are faring with the Inland Revenue and it will be a different story. They have to find the necssary tax money each time it is due or face huge financial penalties if they cannot or they are late paying up.
All this can lead you to believe is that the Coalition want to support huge corporations rather than British small business holders. Is there any wonder that the economy is in a pickle?
So dear George our hope for tomorrow is that you sort this sorry state of affairs out. Instead of playing to wealthy supporters remember the people of the UK. They are the ones who will ultimately pat you on the back and say job well done or kick you when you are down and out of Downing Street, figuratively speaking of course.
HMRC has already said that tax dodgers such as Amazon with £400mil worth of sales last year and paying no corporation tax are "acting within UK tax rules"
The government plans to throw more good money after bad. It has pledged to spend £77mil in extra funding to HMRC to track down the big tax avoiders. In reality of course all it needs to do is tighten the rules and laws so that such huge corporations pay their due. The government appear loathe to do that instead no doubt catching the more paltry tax dodgers of the UK.
Now why do you suppose they prefer that route?
Read more here
Note: Starbucks are now looking at changing their tax position. This change of heart is due to the threat of a boycott of their coffee shops. This shows that when we the people choose to act as one we can have an impact - more here
Important update: There we are, fingers hardly finished typing before there is more news on Starbucks. According to source the tax that Starbucks will pay will come out of staff pay and benefits. According to Shame of you Parliament, facebook,
Boycott Starbucks, they are taking the tax out of their employees earnings! Starbucks is cutting paid lunch breaks, sick leave and maternity benefits for thousands of British workers, sparking fresh anger over its business practices.
On the day the House of Commons' public accounts committee branded the US coffee chain's tax avoidance practices "immoral", baristas arriving for work were told to sign revised employment terms, which include the removal of paid 30-minute lunch breaks and paid sick leave for the first day of illness. Some will also see pay increases frozen.
We know where we will be drinking our coffeee and it will not be at Starbucks
Based in Yorkshire, in the middle of the UK, almost, this blogger offers her own unique perspective on life in GB
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