Yvette Cooper And Mrs Sunak

[Paigntonian]

Labour's Cooper criticises the Chancellor, his wife and the government because the chancellor's wife only pays tax on money she is deemed to have earned in the UK, just like the rest of us. So, in the interest of fairness, it might be good to know how much UK tax her husband, Ed Balls, paid during his tenure at Harvard Business School. Surely he wouldn't have deprived the NHS of much-needed revenue.

[DTCwordfan]

even if he earned income, there's a double tax treaty in place between HMRC and the IRS

[Paigntonian]

Will ask her.

[ichkeria]

Good grief going after Yvette Cooper in Syrian refugees was always pretty desperate.

[Hymie]

As a UK citizen living in the UK, I would pay UK tax on any foreign earnings.
But if I were ‘non-domicile’ for tax purposes living in the UK, I would only pay local taxes on foreign earnings – so not ‘just like the rest of us’; but rather like ‘wealthy persons minimising their tax liability’.

[New Judge]

//...but rather like ‘wealthy persons minimising their tax liability’.//

Are you saying that she (or anybody else) should maximise it?

[Hymie]

What those who defend Mrs Sunak by saying she is not breaking any laws in paying a minimal tax rate on her multimillion pound income, do not appreciate is that those struggling on a much lower income are paying a much higher tax rate.

While you might say, well that’s just how things are – her husband has responsibility for how those things are.

[douglas9401]

Eat the rich.

[THECORBYLOON]

HYMIE, should the non-dom legislation be changed only because the Chancellor's wife benefits from it?

[Hopkirk]

It's a non story. Move on.

[Hymie]

The non-dom legislation should be changed such that those taking advantage of it pay their fair share of tax.

[Gromit]

It is not a non story.
She comes from very rich stock.
Other than being related to her father, she has done nothing to merit this rich bonanza. She has avoided £22million in taxes, so god knows how much money she has raked in.
It will all eventually come out in the wash.

[twix123]

When I used to deal with the tax affairs of Non Domiciled Residents 50 years ago, they would only pay UK tax on any foreign income if that money came into the UK. If the income was paid into another tax jurisdiction, they would be liable to pay tax under that country's rules.

How would you legislate for all world wide income, for all Non- Resident Domiciles to be taxed in the UK, including repealing the multitude of Double Taxation Treaties the UK has with most countries around the world?

Under the 1993 UK/India Double Taxation Treaty, the maximum tax deducted from dividend payments is 15%. Should the income tax charged be greater than 15% the recipient would be entitled to a tax credit for the difference over that amount.

Regarding any US income of Ed Balls, I would presume that US tax would have been deducted at source, then properly treated by the UK Inland Revenue under the UK/USA Double Taxation Treaty via his annual tax return.

[Deskdiary]

If she’s paying the amount that she’s legally required to pay, then she IS paying her fair share.

I find it highly curious why some people appear to think rich people should pay more than they are required to pay.

Blame the system, not the person abiding by the system.

[ToraToraTora]

no one should reproach themselves for legally avoiding tax. End of.

[pat2604]

I'm all for a oifong liability legally. Anyone intelligent enough to use accountants and financial advisers would. We are far from rich but have always taken reputable advice. The cost of doing so is peanuts compared to what we have saved to allow u

[Gromit]

Mrs Sunak said
// she realised many people felt her tax arrangements were not “compatible with my husband’s job as chancellor”, adding that she appreciated the “British sense of fairness”.

She will pay tax on all worldwide income in future and for the last tax year, but not on backdated income, which could have saved her an estimated £20m of UK tax on foreign earnings from her billionaire father’s Indian IT company. //

Mea Culpa

[naomi24]

Gromit, you posted that on the other thread so I'll copy my response to it and paste it here.

If her tax affairs are legitimate - and in her position I would be very surprised if they aren't - anything untoward would be plain stupid - then she should stick with them. She shouldn't bow to the howling of those suffering from the currently rampant disease of digging up something - anything - with a sniff of the disreputable about it. What a pity she can't tell them in no uncertain terms to mind their own business and get knotted - but we know she can't. She's far too well bred for that.

[naomi24]

Incidentally, I wouldn't trust the simpering Yvette Cooper any farther than I could throw her. Dreadful woman.