Abolishing the non-dom rule: a Labour red line

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A month ago I wrote:

Abolishing the domicile would be the best indication of a commitment to tax justice in the UK

Now Labour has made doing so the first red-line in its potential Coalition negotiations. That's good with me.

As I wrote a month ago:

If a party really wanted to evidence commitment to equality of taxation for all in the UK it would, I think,  have to start with abolishing the domicile rule. This rule, which quite literally provides the opportunity for wealthy people who do not consider the UK their permanent home to permanently avoid the obligation to pay UK tax on all their income and gains, quite clearly establishes a situation where people secure a social and economic advantage based on an accident of their birth and and / or their wealth. No one who believes in equality and that we should all be treated equally before the law could possibly believe that this is remotely related to any concept of justice. It is instead wholly related to providing an advantage to a tiny and wealthy minority at cost to all the rest in society in a way that deliberately makes clear that there is, quite literally, one law for the rich and one for everyone else. This is why I have campaigned against it for so long.

Of course getting rid of this rule has to be at the heart of any campaign for tax justice in the UK.

It's welcome to see Labour recognising that fact.

And it may mean the end of one small part of my campaigning.


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