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David Ellesmere: Labour will introduce anti-abuse tax rule

Estimates for the true level of the Tax Gap – the amount of tax the Government loses because of evasion – vary wildly from £35billion to £120billion. But everyone agrees that the Government isn’t collecting all it could because of corporate and individual tax dodgers.

With borrowing still running at more than £90billion a year, tackling this should be a priority, says David Ellesmere, Labour Parliamentary Candidate for Ipswich.


One problem is that, as soon as there is a crackdown on one loophole, some clever tax accountant will find another for their wealthy clients. And there’s no incentive for them not to. If you get caught avoiding tax then the worse that will happen to you is that you repay what you owe.

That’s why Labour would introduce a General Anti-Abuse Rule which would mean that if someone is caught avoiding tax, they could be forced to pay back twice as much as their original bill.

If that were to happen it might mean millionaire celebrities like Gary Barlow and Jimmy Carr pay a bit more tax, but the Government could stop squeezing the rest of us quite so hard.

If you believe that rich people should bear their fair share of the tax bill, join us in helping elect a Labour government. Unless Labour wins in Ipswich, we'll still have a Con-Dem government.

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