{"id":32129,"date":"2016-01-26T13:41:42","date_gmt":"2016-01-26T13:41:42","guid":{"rendered":"http:\/\/www.taxresearch.org.uk\/Blog\/?p=32129"},"modified":"2016-01-27T06:57:16","modified_gmt":"2016-01-27T06:57:16","slug":"ask-your-council-to-get-tough-with-tax-dodgers","status":"publish","type":"post","link":"https:\/\/www.taxresearch.org.uk\/Blog\/2016\/01\/26\/ask-your-council-to-get-tough-with-tax-dodgers\/","title":{"rendered":"Ask your council to get tough with tax dodgers"},"content":{"rendered":"<p><em><span style=\"font-family: UICTFontTextStyleBody; font-size: small;\"><span style=\"line-height: 19px; -webkit-text-size-adjust: auto;\">I am pleased to share this press release from Christian Aid on a campaign I support:<\/span><\/span><\/em><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">Today (<a href=\"x-apple-data-detectors:\/\/0\">27th January<\/a>) a campaign has been launched across England and Northern\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">Ireland urging people to lobby their local councils to get tough with companies that\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">dodge tax. The Fair Tax Mark will be supporting this campaign, which has been developed by Christian Aid.\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">Corporate tax evasion and avoidance are having an incredibly damaging impact on the world\u2019s poorest countries, to such a level that it is costing them $160bn a year - far more than they receive in aid.<\/span><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">Councils in England alone spend some \u00a345 billion a year\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">buying\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">goods and services from companies and that gives them a lot of influence\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">over suppliers.\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">The prospect of losing a multi-million pound contract is likely to\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">concentrate some companies\u2019 minds and make them think harder about\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">whether to dodge tax, here or in a developing country.<\/span><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">A<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">s part of the campaign for local councils to tackle tax dodging, it is\u00a0envisaged\u00a0that\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">bidders for local c<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">ouncil contracts would be asked to account for their past tax record<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">. In addition, the Fair Tax Mark will be flagged as an example of enlightened business practice and a demonstration that not all businesses are aggressive tax dodgers, but rather accept that they need to pay the right amount of corporation tax in the right place at the right time.\u00a0<\/span><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">Already, some are moving in the right direction. In December, Oxford\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">City Council voted unanimously to investigate whether and how the\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">council can include rigorous questions about companies\u2019 tax practices in\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">council procurement procedures. Detailed tax compliance questions have\u00a0<\/span><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">been adopted by Belfast City Council, and the Fair Tax Mark has been engaging with a major city in northern England and expects to be to announce a major positive development very soon.\u00a0<\/span><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><br style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\" \/><span style=\"font-family: UICTFontTextStyleBody; -webkit-text-size-adjust: auto; font-size: 12.8px;\">Paul Monaghan of the Fair Tax Mark commented: \"This campaign has the\u00a0potential\u00a0to be the ultimate\u00a0carrot\u00a0and stick. It aims to hurt the tax dodgers via the loss of lucrative contracts, whilst incentivising those paying a fair share of tax. People already rightly expect their local council to screen out<\/span><span style=\"font-family: UICTFontTextStyleBody; font-size: 17px; -webkit-text-size-adjust: auto;\">\u00a0suppliers engaged in fraud, corruption and child labour. Tax dodging can and should be added to this list, especially at a time when local government is faced with so many painful cuts to local services.\"<\/span><\/p>\n<div style=\"font-family: UICTFontTextStyleBody; font-size: 17px; -webkit-text-size-adjust: auto;\">As part of the campaign, councils will be urged to pass supporting motions that will push forward the cause of ethical procurement as below.<\/div>\n<div style=\"font-family: UICTFontTextStyleBody; font-size: 17px; -webkit-text-size-adjust: auto;\"><\/div>\n<div style=\"font-family: UICTFontTextStyleBody; font-size: 17px; -webkit-text-size-adjust: auto;\"><\/div>\n<div style=\"font-family: UICTFontTextStyleBody; font-size: 17px; -webkit-text-size-adjust: auto;\"><span style=\"text-decoration: underline;\"><em>Model Motion<\/em><\/span><\/div>\n<div style=\"font-family: UICTFontTextStyleBody; font-size: 17px; -webkit-text-size-adjust: auto;\">\n<p class=\"MsoNormal\"><span lang=\"EN-US\"><em>Council notes that:<\/em><\/span><\/p>\n<ul>\n<li><em><span lang=\"EN-US\">corporate tax evasion and avoidance are having a damaging impact on the world\u2019s poorest countries, to such a level that it is costing them far more than they receive in aid<\/span><\/em><\/li>\n<li><em><span lang=\"EN-US\">this is costing the UK as much as \u00a330bn a year<\/span><\/em><\/li>\n<li><em><span lang=\"EN-US\">this practice also has a negative effect on small and medium-sized companies who pay more tax proportionately<\/span><\/em><\/li>\n<\/ul>\n<p class=\"MsoNormal\"><span lang=\"EN-US\"><em>Council further notes:<\/em><\/span><\/p>\n<ul>\n<li><em><span lang=\"EN-US\">the UK Government has taken steps to tackle the issue of tax avoidance and evasion by issuing Procurement Policy Note\u00a0<a href=\"x-apple-data-detectors:\/\/2\">03\/14<\/a>, which applies to all central government contracts worth more than \u00a35m<\/span><\/em><\/li>\n<li><em><span lang=\"EN-US\">the availability of independent means of verifying tax compliance, such as the Fair Tax Mark<\/span><\/em><\/li>\n<\/ul>\n<p class=\"MsoNormal\"><em>In early 2015 new regulations required public bodies, including councils, to ask procurement qualification questions of all companies for tenders over \u00a3173,000 for service contracts and \u00a34m for works contracts. However, these questions are not as detailed as the PPN\u00a0<a href=\"x-apple-data-detectors:\/\/4\">03\/14<\/a>.<\/em><\/p>\n<p><em>Council believes that bidders for Council contracts should be asked to account for their past tax record, using the standards in PPN\u00a0<a href=\"x-apple-data-detectors:\/\/5\">03\/14<\/a>, rather than the lower standards in the recent regulations. Council therefore calls for procurement procedures to be amended to require all companies bidding for council contracts to self-certify that they are fully tax-compliant in line with central government practice, using the standards in PPN\u00a0<a href=\"x-apple-data-detectors:\/\/6\">03\/14<\/a>, applying to contracts of the size specified above.<\/em><\/p>\n<p>Council asks the Cabinet to publicise this policy and to report on its implementation annually for the next three years.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>I am pleased to share this press release from Christian Aid on a campaign I support:Today (27th January) a campaign has been launched across England<br \/><a class=\"moretag\" href=\"https:\/\/www.taxresearch.org.uk\/Blog\/2016\/01\/26\/ask-your-council-to-get-tough-with-tax-dodgers\/\"><em> Read the full article&#8230;<\/em><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35,152],"tags":[],"class_list":["post-32129","post","type-post","status-publish","format-standard","hentry","category-economics","category-fair-tax-mark"],"_links":{"self":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/32129","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/comments?post=32129"}],"version-history":[{"count":0,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/32129\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/media?parent=32129"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/categories?post=32129"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/tags?post=32129"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}