Avoiding tax, is it ethical?

So weve seen the uk avoid a large tax bill from europe. And countless celebs avoiding tax. Big businesses do it.

As an employee or small business owner do you feel justified in avoiding tax?

Legally or by any means necessary how far is too far?

Any means other than legal is tax evasion...not avoidance...do you send HMRC extra cheques each month or do you pay just what you are legally obliged to? Genuine question..

Not doing it legally would almost certainly not be ethical.

Doing it legally is arguably ethical by definition, although there's definitely room to disagree on that.

Just to clarify talking about ethics here. Not legality. That would be tax evasion!

---------- Post added 16-12-2014 at 13:40 ----------

Although tax evasion to a point may be ok too. The lines are blurred. I think everyone lies on their tax forms to some extent.

---------- Post added 16-12-2014 at 13:44 ----------

Any means other than legal is tax evasion...not avoidance...do you send HMRC extra cheques each month or do you pay just what you are legally obliged to? Genuine question..

Lets just say i pay as little tax as possible that i can get away with. I dont feel bad about it or think of the wider implications to society.

If you ask me most people would feel the same. Otherwise accountants would be out of a job. Just being honest.

There's an accountancy firm near me that has massive banners outside their offices saying "pay only 10% tax".

There's an accountancy firm near me that has massive banners outside their offices saying "pay only 10% tax".

And if you go to different accountants they will have diff techniques and results.

The question is legal or illeagal is that ethical?

---------- Post added 16-12-2014 at 13:52 ----------

Let me put another perspective out there.

There is no law that says we have to pay tax.

Taxation becomes voluntary. Would you do it?

Buy duty free digs or booze coming back off holiday? That's tax legal avoidance, does anyone think "Oh I'd better not buy these ciggies at half price, it's denying the treasury some revenue" Doubt it.

Paying the window cleaner does anyone say to him "Don't forget to charge me an extra 20% to take account of the VAT, oh and don't forget to declare all these earnings to the Inland Revenue for your income tax returns you little scamp" No, well that's illegal tax evasion.

Different scale from the notorious multinationals but either legal tax avoidance is immoral or it isn't, personally if it's legal, good luck to them, why would anyone pay more tax than they have to, I'll consider it a moral duty to pay tax when the politicians consider it their moral duty to not waste a penny we pay in.

Buy duty free digs or booze coming back off holiday? That's tax legal avoidance, does anyone think "Oh I'd better not buy these ciggies at half price, it's denying the treasury some revenue" Doubt it.

Paying the window cleaner does anyone say to him "Don't forget to charge me an extra 20% to take account of the VAT, oh and don't forget to declare all these earnings to the Inland Revenue for your income tax returns you little scamp" No, well that's illegal tax evasion.

 

Different scale from the notorious multinationals but either legal tax avoidance is immoral or it isn't, personally if it's legal, good luck to them, why would anyone pay more tax than they have to, I'll consider it a moral duty to pay tax when the politicians consider it their moral duty to not waste a penny we pay in.

Thats a code of ethics.

Mine is i only lie to the police, the tax man and in golf!

Exception being a white lie to protect someone.

I try and be honest at all other times.

So weve seen the uk avoid a large tax bill from europe. And countless celebs avoiding tax. Big businesses do it.

 

As an employee or small business owner do you feel justified in avoiding tax?

 

Legally or by any means necessary how far is too far?

Is it ethical for Lewis Hamilton to live in Monaco and pay virtually no UK tax in the UK? It hasn't stopped him being voted Sports Personality of the Year.

How much out of every £1 that you earn ends up in your pocket after you have paid tax on most things you buy or pay for? It'll be about 40p at a guess

Is it ethical for Lewis Hamilton to live in Monaco and pay virtually no UK tax in the UK? It hasn't stopped him being voted Sports Personality of the Year.

Lewis Hamilton disagrees with you about him not paying tax, here he says:

"What people don't realise is that I pay tax here, but I don't earn all my money here. I race in 19 different countries, so I earn my money in 20 different places and I pay tax in several different places, and I pay a lot here as well."

Thats a code of ethics.

Mine is i only lie to the police, the tax man and in golf!

Exception being a white lie to protect someone.

I try and be honest at all other times.

You lie in golf?

Disgraceful behaviour