Typical Wealthy Capitalist

[joggerjayne]

LOL about Ken Livingstone.

"No one should be allowed to vote in a British election unless they are paying their full share of tax" he said.

So he and Mrs Livingstone set themselves up as a company called Silveta Ltd.

In the year ending 2010, the accounts show that Ken earned £284,000 from media appearances, and has a bank balance of £320,000.

So Ken's "full share" of income tax is charged at the higher rate of 50%, yes?

Err ... no.

Since Ken is a limited company, he only pays corporation tax ... at 21%.

Maybe we should all set ourselves up as limited companies!

From now on, I am JoggerJayne Ltd. Registered Office, The Princess Victoria, Brighton. My weekly cheque for reporting the netball results should be made payable to "JJ Ltd"

[ludwig]

That doesn't sound right JJ. If he takes a salary from the company, he still has to pay income tax on it like everybody else.

The reason for being a Ltd company is that you can pay yourselve(s) a relatively low salary - below the 50% band - and take a bigger chunk as a dividend, which is taxable at a lower rate. He and the missus will be the only two shareholders.

It's still a tax dodge, but it isn't quite as bad as you say.

[DTCwordfan]

And that is what many are doing, JJ, welcome to Capitalism and enjoy.

[ummmm]

And it's one that everyone does.

[DTCwordfan]

and all your expenses can be offset too...........that is the difference, ludwig.

[joggerjayne]

If he's cunning enough to channel his personal appearance money into a company, he won't be daft enough to draw it out again and pay the tax he has so far avoided.

[Craftypig]

Ah, socialism alive and well....

[ladybirder]

http://www.telegraph....-and-a-hypocrite.html

[joggerjayne]

Not everyone bleats on about how bad it is to exploit tax avoidance schemes.

We all avoid tax wherever we can, but we don't all claim that it is immoral to do so, while doing it ourselves.

[joggerjayne]

Thanks, LB.

I never see the Telegraph ... being a wet tree hugger, and all that.

[DaisyNonna]

As a pensioner how can I jump on the bandwagon and avoid tax? Oops! Then I can't gift aid any charity contributions. Who is missing out?

[ummmm]

Their full share still means what they legally have to pay. I'm presuming he's paying what he 'has' to, and no more.

[ludwig]

// We all avoid tax wherever we can, but we don't all claim that it is immoral to do so, while doing it ourselves. //

True.

[ladybirder]

I was going to write something next to my link but someone put a lovely liquer coffee in my hand with about an inch of thick cream on top. Yummy. Now I've forgotten what I was going to say. Probably just as well. Sorry.

[DTCwordfan]

hic, ladyb, I agree, a Sunday night; it must be so taxing...

[DaisyNonna]

We all avoid Tax? Would not know where to start. How rude!

[joggerjayne]

Banks and bankers who channel their UK earnings through offshore vehicles also pay what they legally have to.

So why does Ken disapprove of them so vehemently?

[naomi24]

Red Ken seems to be a very pale shade of pink.

[Hymie]

I would be willing to give up my right to vote - in exchange for paying no tax.

[weecalf]

Does the tax on petrol fags drink ect count kenny?

[New Judge]

"No one should be allowed to vote in a British election unless they are paying their full share of tax"

Sounds great to me. That rules out everybody receiving more than £7,474 in benefits, then.