Osborne Dumps Plans To Publish Coalition Ministers' Tax Returns

Dave And George Don't Want You To Know How Much Tax They Pay
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EASTBOURNE, UNITED KINGDOM - AUGUST 1: Prime Minister David Cameron and Chancellor George Osborne meet local business owners and members of East Sussex Fire and Rescue Service at the Fire Station, after the pier extensively damaged by a fire, on August 1, 2014 in Eastbourne, England. The Fire was attended by over 60 firefighters. The pier, a popular seaside attraction, was built in the 1870's and is home to a number of cafes and bars (Photo by Anthony Devlin - WPA Pool/Getty Images)
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David Cameron and George Osborne are no longer planning to publish their personal tax returns, the chancellor has said, despite previously suggesting that senior ministers would do so.

The U-turn has been lambasted by the Greens, whose London Mayoral candidate in 2012 successfully persuaded her rivals Boris Johnson, Ken Livingstone and Brian Paddick to to publish their tax returns.

Baroness Jenny Jones, Green member of the London Assembly, told the Huffington Post UK: “It’s quite hard to trust people who run the economy if they want to keep their own affairs secret, sitting prime minister or not.

"We need to understand that their actions and aims are as selfless as possible. There are too many politicians tied to corporate interests, who stand to financially benefit from privatisation and other policies.

"The people at the top need to set a transparent example to the rest. It’s time for Cameron, and the whole cabinet, to come clean on their tax returns.”

Jenny Jones dares her rivals to be open with their tax affairs

The chancellor told the Sunday Times that the Tories have "no plans" to continue with the idea, first mooted in 2012 as a move to improve transparency in government, claiming it was complicated by issues of "confidentiality".

However, the prime minister insisted on Monday, after a speech on the economy in Ipswich, that "nothing has changed" with plans to publish tax returns.

“I'm very relaxed about publishing these things,” he told reporters. "There's no secrets about my status. I am paid handsomely as your prime minister and that is my main source of income. And I have a house I used to live in before I moved into Downing Street, and I rent that out and I get the income from that.

“I don't have other sources of income so there'll be no surprises in terms of my tax affairs. But I'm very relaxed, as I've always said, nothing's changed about that issue."

The prime minister suggested in 2012 that he would be "relaxed" about publishing his personal tax returns, along with having other members of his cabinet do so, with it suggested that they could make an open declaration of their returns after the local elections that May. The idea reportedly had Lib Dem support, with Nick Clegg and Vince Cable suggesting they would be willing to disclose their tax affairs.

Osborne told the Daily Telegraph that April: "We are very happy to consider publishing tax returns for people seeking the highest offices in the land. Of course, they do it in America."

He added: "When it comes to publishing tax returns … personally, I don't set my face against it. But we have to think through the issues. You have to think through the advantages and disadvantages. We have got to think through the issue of taxpayer confidentiality, which is a very important principle in Britain."

Coalition ministers continued to remain supportive of the idea in 2013, with Cameron's spokesman still indicating that he would be 'relaxed" about the idea following a move by French president Francois Hollande to have his ministers publish details about their own tax affairs.

"The prime minister's view on whether he would be content to publish his arrangements and those of other ministers is that he would be relaxed about that," a spokesperson said.

But now Osborne has cooled on the idea, telling the Sunday Times: "There are genuine issues around taxpayer confidentiality and how it would work in practice.

"You see it as a feature of some American campaigns but I think there would be quite a lot of practical difficulties. There are no plans at this point. The income I receive is publicly declared."

Andy Silvester, of the Taxpayers' Alliance, said: "Politicians must keep their word if they are to be trusted, so having said they would publish their returns, those in the highest offices should do just that."

See also:

Politician Tax Avoidance Controversies
George Osborne (01 of05)
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The Chancellor was embroiled in his own tax controversy after Channel 4 reported in 2010 that he stood to gain more than £4 million from a family trust fund which would save him and fellow beneficiaries £1.6 million in inheritance tax. Osborne's spokesman seemed to accept that he would get his share of the family fortune tax-free, but that his share would still face death duties when he died.
Danny Alexander(02 of05)
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Osborne's Lib Dem deputy at the Treasury, Danny Alexander, admitted that he had used a tax loophole to not pay capital gains tax when he sold his taxpayer-funded second home in South London for £300,000 in June 2007.
Stephen Hammond (03 of05)
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Transport minister Stephen Hammond, who criticised Livingstone for axoiding tax, was reported to be an investor in a firm that also used tax breaks - and had failed to declare this to Parliament.Hammond is a partner in Harwood Film Partnership, which has deferred tax for its partners, the Guardian reported. The minister said that the scheme was legal and he did not have to declare his involvement.
Ukip leader Nigel Farage(04 of05)
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Nigel Farage, who previously railed against "rich people and successful companies" not paying their fair share, was reported to have funneled earnings into a company which meant he pays 20% corporation tax on profits of £45,000, rather than 40% income tax.According to the Mail Online, Farage set up a company, Thorn In The Side Ltd, to manage earnings he makes from media appearances and giving speeches. The newspaper calculates the arrangement saved him £11,097.93 last year.
Sajid Javid (05 of05)
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Back when culture secretary Sajid Javid worked as a £3million-a-year City banker, he reportedly received a huge bonus channeled through a tax haven.According to the Mail on Sunday, Javid was among a group of senior Deutsche Bank executives who received bonuses worth at least £50,000 each shares in a Cayman Islands company – to lower the company’s total tax bill.A spokesman for Javid said that he was paid with "all tax deducted already" and "did not personally receive any tax advantage whatsoever from these arrangements."