Tax Avoidance: Are they all at it ?

Caporegime
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Norrbotten, Sweden.
A Government needs to remake tax system and close the loop holes and remove this stupid ethical/morality issues from what should be an obligation of living in a modern society.

But... it will never happen as..........(hopes it does happen)
 
Man of Honour
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It's not hyperbole, for a majority of the population of earth it's a fact that they were not fortunate enough to be born in a developed country.

Again you are changing the context to make your point and in doing so devaluing it. Of course there needs to be luck in anything, you simply wish to over promote it to support your point, you account for no individual skills simply luck. No point changing the context to suit your point if everyone else has a different context, it is pointless.

Everything on that list can be taken literally - so hyperbole it is not.

Oh it is and if you are honest with yourself you know it is, see my point above.

By what context do you mean "self-made" then?, or by what context do you think others are wording it which I'm changing the meaning of?.

Oh I think you are very clear on that, you just don't want to agree with it so seek to take it in a different direction. Accept my and probably most peoples definition is different to yours and that doesn't mean your points are invalid but in the context of how people use the term they are. I don't think it needs to be defined as you know already.

I gave an array of examples, starting from birth to country of origin to simply having friends who encourage you - not exactly just extreme things.

They were examples so you could change the definition, nothing more and again you know that. Ask a man on the street what they believe self made to be and it would probably not involve the points you seek to uphold.

Who said it wasn't shades of grey?, I never implied it was a black & white - at least argue against what I'm saying.
I did, quite clearly, I suggest you consider what I wrote.:)
 
Soldato
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Peoples Republic of Histonia, Cambridge
A Government needs to remake tax system and close the loop holes and remove this stupid ethical/morality issues from what should be an obligation of living in a modern society.

But... it will never happen as..........(hopes it does happen)

Flat rate ~25% income, corporation, capital gains would be an obvious solution. You could also abolish VAT to help low earners.

I'm not sure how that would work in practice though.
 
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Soldato
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Portsmouth (Southsea)
Again you are changing the context to make your point and in doing so devaluing it. Of course there needs to be luck in anything, you simply wish to over promote it to support your point, you account for no individual skills simply luck. No point changing the context to suit your point if everyone else has a different context, it is pointless.
I haven't changed anything.

I have a range of examples, some of which extreme - others mundane.

Oh it is and if you are honest with yourself you know it is, see my point above.
I'm not going to debate semantics with you, I gave examples that we are the end result of a number of factors we have no say over.

This is an objective fact.

Oh I think you are very clear on that, you just don't want to agree with it so seek to take it in a different direction. Accept my and probably most peoples definition is different to yours and that doesn't mean your points are invalid but in the context of how people use the term they are. I don't think it needs to be defined as you know already.
The point is, no matter which definition used - (as the one above) people don't choose the personality traits they possess, I don't even believe free will exists - so why do you think I'd accept ANY definition of "self-made" as another other than tosh?.

They were examples so you could change the definition, nothing more and again you know that. Ask a man on the street what they believe self made to be and it would probably not involve the points you seek to uphold.
I gave examples which in reality greatly impact on an individuals chances in succeeding in life.

Just because you don't like them it doesn't make them invalid, just because a number of them may be considered extreme (for people in England, not globally) it doesn't make them invalid.

The overarching point (you have missed) is that we don't choose the circumstances of our childhood - which in turn determine if we are likely to be the kind of person who can succeed (in the business world) or on an interpersonal level.

No matter how you spin it, the term "self-made" implies a level of control which doesn't reconcile with our understanding of neuroscience & the reality of environmental influences.

Self made to me simply means you've succeeded in the business world with minimal / no outside help or funding, you’ve worked hard to ratchet your way up the corporate ladder or invested in others using your own gained knowledge, you've gone it alone to succeed and continue to succeed and prosper from your business ventures..
Ok, by this definition.

Where does the individual get the mindset that enables them to work hard without help/funding & ratchet their way up the ladder?

By what source were these personality traits obtained from? - what influences determined if this person was able to perform the above task & obtain success in the sense you laid out?.

If both of these factors were pendant on say, having good parents who instilled the right attitude required - which others didn't have, how are they self made? - while they didn't get the finical benefit they did receive a cognitive one.

This is why self-made is a fallacy, it's just a line drawn in the sand by people who wish to extract extra pride/reward/self-esteem over things which objectively they had no choice in to begin with.
 
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Man of Honour
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The overarching point (you have missed) is that we don't choose the circumstances of our childhood - which in turn determine if we are likely to be the kind of person who can succeed (in the business world) or on an interpersonal level.

Oh I missed nothing I promise you, so let me make it clearer for you to show my perspective. I don't agree with the highlighted aspect, I don't accept that premise so your other arguments don't carry weight with me as I don't agree with the foundation of your argument. :)
 
Soldato
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Oh I missed nothing I promise you, so let me make it clearer for you to show my perspective. I don't agree with the highlighted aspect, I don't accept that premise so your other arguments don't carry weight with me as I don't agree with the foundation of your argument. :)
Ok, just to get this clear so I know it's fruitless trying to persuade you otherwise.

You don't believe that childhood experiences (which they have no choice over) may greatly influence an individuals ability to succeed in the business world later on in life?.

Just to note, I'm not implying that everybody needs the same experience, twins may require different style parenting to reach the same point - some children do well coming out of strife, some do well emulating parents/others do well with opposites (also, remember we are talking averages here, not every single case).

The only reason I ask is because of the array of evidence which seems to indicate external socio-economic factors in childhood greatly influence an individuals earning power later on in life.

On a side note, are you actually from Tipton? (nothing to do with the debate, just I know the area)
 
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Man of Honour
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You don't believe that childhood experiences (which they have no choice over) will greatly influence an individuals ability to succeed in the business world later on in life?..

That isn't what I said, though I can understand how you might seek to imply that. Of course they are influence factors and big ones but there are other factors not least genes that influence heavily, which is why people who appear to have everything when young by any reasonable measure sometimes do nothing and why those with little or nothing achieve. I don't think how you are brought up or what you are surrounded with for example determines your personal motorvation factor, and I think this has a big influence on how you succeed in business.
 
Man of Honour
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On a side note, are you actually from Tipton? (nothing to do with the debate, just I know the area)

No I have a nice house in the countryside of Staffordshire, you know the sort, lots of land, away from 'estates', gated, you'd hate it ;)

I was actually born in Brum, sunny Perry Bar during the summer of love :D
 
Soldato
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I don't think how you are brought up or what you are surrounded with for example determines your personal motorvation factor, and I think this has a big influence on how you succeed in business.
If only the data didn't seem to suggest otherwise, but anyway - no point me harping on about it.

Agree to disagree for this seems the only logical choice.

No I have a nice house in the countryside of Staffordshire, you know the sort, lots of land, away from 'estates', gated, you'd hate it ;)

I was actually born in Brum, sunny Perry Bar during the summer of love :D
I moved away myself, I think I was born about 2 miles away from you (but live in the sunny south now).
 
Soldato
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I find that in my head I can easily classify everybody I meet into "useful" or "useless". I know it's very prejudice and I shouldn't do it but I can't help it.

Also, it's fact that some people will contribute more to society than they use and some will use more than they contribute. You're either one or the other.

I think the misconception is that just because you're rich, you instantly fall into the category of 'contributing more than you use' and if you're poor you instantly fall into the category of 'using more than you contribute'.

This is partly because of an emphasis on monetary value and also to do with the stereotypes I mentioned earlier.

Those of us who are in the middle ground don't feel the need to voice our opinion of (and generally just stay out of) such ridiculous discussions as declaring one extreme or the other.

With the exception of the many vocal members of this fine forum. :p
 
Caporegime
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http://www.guardian.co.uk/books/2012/aug/12/curious-incident-mark-haddon-wealthy-tax

I appreciate that many people here have trouble getting their heads around abstract concepts like morality in taxation, but look! it's been raised again. This time by award winning author Mark Haddon who has written to his MP arguing that he should pay more tax. Also, by avoiding shadowy schemes such as K2 he has paid more tax than he is legally obliged to (awaits head explosions from several forum members when they read that).

While reading the comments section of the article I noted the famous quote from Adam Smith, father of modern capitalism on why progressive tax was fair had been mentioned, so I thought it'd be a good idea to repeat it here:

Adam Smith said:
The necessaries of life occasion the great expense of the poor. . . . The luxuries and vanities of life occasion the principal expense of the rich, and a magnificent house embellishes and sets off to the best advantage all the other luxuries and vanities which they possess. . . . It is not very unreasonable that the rich should contribute to the public expense, not only in proportion to their revenue, but something more than in that proportion.
 
Soldato
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http://www.guardian.co.uk/books/2012/aug/12/curious-incident-mark-haddon-wealthy-tax

I appreciate that many people here have trouble getting their heads around abstract concepts like morality in taxation, but look! it's been raised again. This time by award winning author Mark Haddon who has written to his MP arguing that he should pay more tax. Also, by avoiding shadowy schemes such as K2 he has paid more tax than he is legally obliged to (awaits head explosions from several forum members when they read that).

While reading the comments section of the article I noted the famous quote from Adam Smith, father of modern capitalism on why progressive tax was fair had been mentioned, so I thought it'd be a good idea to repeat it here:

I don't get your point, he does things inefficiently to pay more tax. That's nice of him, not required but nice nonetheless.
 
Associate
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I don't get your point, he does things inefficiently to pay more tax. That's nice of him, not required but nice nonetheless.

Efficiency has nothing to do with it.

He is simply refusing to exploit the gaps that exist within current legislation in order to deliver higher rates of profit at the expense of everybody else. If more high wealth individuals took such a positive moral stance then the nation would be much wealthier indeed.

Kudos to him for recognising that fact.
 
Soldato
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Efficiency has nothing to do with it.

He is simply refusing to exploit the gaps that exist within current legislation in order to deliver higher rates of profit at the expense of everybody else. If more high wealth individuals took such a positive moral stance then the nation would be much wealthier indeed.

Kudos to him for recognising that fact.

No he refuses to do things efficiently. Not exploit "loopholes".

ISAs aren't loopholes.
EIS isn't a loophole.
VCTs aren't a loophole.
Charitable donations aren't a loophole.
Pension contribuitions aren't a loophole.

Just off the top of my head.

There are plenty of tax efficient ways of doing things, ENTIRELY designed to be tax efficient to encourage certain behaviour.
 
Associate
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No he refuses to do things efficiently. Not exploit "loopholes".

ISAs aren't loopholes.
EIS isn't a loophole.
VCTs aren't a loophole.
Charitable donations aren't a loophole.
Pension contribuitions aren't a loophole.

Just off the top of my head.

There are plenty of tax efficient ways of doing things, ENTIRELY designed to be tax efficient to encourage certain behaviour.

Correct me if I'm wrong but there is nothing that indicates he isn't using any of those accepted instruments for tax mitigation. He did however instruct his accountant to "pay all tax that was due". This suggests that he didn't want a series of steps introduced into his tax affairs which were both pre-ordained andhave no commericial purpose other than to facilitate tax avoidance.

The phrase 'tax efficiency' is a weasel word. It attempts to combine tax mitigation and tax avoidance to give tax avoidance the legitimacy afforded to tax mitigation (much in the same way many posters here try to redefine tax avoidance as including tax mitigation).
 
Caporegime
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Cornwall
if you could do it, wouldn't you? No? Liar!!

If it meant the difference between just scraping by (hand to mouth) and having a bit of money to spend, then YES. That's a quality of life issue. I'd be quite happy to be paid cash in hand to top up my (low) income.

If it was the difference between one Farrari or two, then NO.

Let's face it, the richer you are the more tax becomes merely a nuisance, as opposed to having an impact on your quality of life.

People who earn over 75k and dodge tax are scum.
 
Soldato
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Essex
Correct me if I'm wrong but there is nothing that indicates he isn't using any of those accepted instruments for tax mitigation. He did however instruct his accountant to "pay all tax that was due". This suggests that he didn't want a series of steps introduced into his tax affairs which were both pre-ordained andhave no commericial purpose other than to facilitate tax avoidance.

The phrase 'tax efficiency' is a weasel word. It attempts to combine tax mitigation and tax avoidance to give tax avoidance the legitimacy afforded to tax mitigation (much in the same way many posters here try to redefine tax avoidance as including tax mitigation).

There is no mention of anything, people assume it's dubious methods but in my experience most schemes marketed are generally fairly standard ways of mitigating tax. Efficiency isn't a weasel word, it's what mitigation is. If you don't like tax efficiency go on a crusade against all the self employed users on this forum with ltd companies who pay themselves dividends.

Efficient tax planning is all about using legislation to best effect, not abusing it and is normal terminology, if someone wants to ignore that fine, pay more tax if you like, but to suggest it's underhand with no other knowledge is ridiculous.
 
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