David Martin, MEP

Tax Avoidance

The Editor
The Herald
200 Renfield Street,
Glasgow                      G2 3PR

19 October 2010
 
I would like to commend the excellent comment piece, ‘We’re in it together? Don’t make me laugh. By Ron Ferguson’ (Herald 18/10/10).  One thing we do know is that the Conservatives and the Liberal Democrats are ‘in it together’ – Government that is.  
                Earlier this year David Cameron’s MEPs voted in Strasbourg against proposals to crack down on ‘...those seeking to hide their money from the tax authorities’.  In voting against the Dominici Report, on ‘Promoting Good Governance in Tax Matters’, Cameron’s MEPs sought to prevent the automatic exchange of tax information across borders.
                At the Liberal Democrat Conference Vince Cable attacked spivs and the unacceptable face of capitalism.  Ron Ferguson has highlighted the fact that aggressive tax avoidance and tax evasion deprives the developing world of at least $160bn in lost corporate tax.
                The European Commission have calculated that tax avoidance and tax evasion means that the money illegally transferred out of developing countries is thought to be at least 7 times higher than the amount they receive in official development assistance.  
The Commission has drafted a communication on tax and development which recognises the importance of tax for development, and the need for financial accountability including information exchange and country by country reporting.
In May 2010 Vince Cable, newly-appointed Business Secretary, announced that: ‘Tackling tax avoidance by business is essential and this is an area that I will be looking at closely in my new role’.
Well it is time to stop looking and start acting Vince.  Where are your proposals?
 
Yours sincerely

DAVID MARTIN MEP