Journal 014 – Let’s not, and say we did..

Let’s not, and say we did..

Like it or not, tax is part of society. It’s the consent of the people to the process of taxation that enables the country to function. That’s part of the ‘social contract’ between the people of a nation, and their government, as Rousseau said

Government uses tax as the essential tool to organise the economy to aim to achieve its desired outcomes

If taxation reflects the needs and values of the people, they’ll readily pay it (HMRC itself states that 90% of taxes are paid willingly) and the government will stay in power

If it does not reflect those values, our democracy provides the opportunity to change government, via the ballot-box

 

Compliance with tax rules is considered the norm, but there are lots of taxes, and people don’t always tell the truth about tax. Compulsion is required for those that don’t comply with what most of us think is ‘the right thing to do’

Everyone has to pay the right amount of tax, but there’s no need to leave a tip!

Tax planning is taking advantage of tax reliefs the law specifically permits. That’s entirely legal, and it’s not controversial

Take your retirement pension fund. Tax relief on contributions is due in accordance with the law. You’re reducing your tax bill. You’re not avoiding tax. The law states none was ever due. There are nearly 1,000 Allowances and Exemptions in UK legislation

Tax avoidance is legally rearranging your affairs to minimise your tax bill, and that can be controversial. It may be deemed unreasonable. It could be something that others might not approve of. It can also be entirely legal

Tax evasion is illegal

Our tax team are all Chartered Tax Advisors. That’s the highest possible tax qualification

Let’s review your tax planning with you. Experience the Power of a FREE Hour here

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