{"id":9114,"date":"2011-03-09T12:03:13","date_gmt":"2011-03-09T10:03:13","guid":{"rendered":"http:\/\/www.taxresearch.org.uk\/Blog\/?p=9114"},"modified":"2011-03-09T12:03:14","modified_gmt":"2011-03-09T10:03:14","slug":"the-tax-gap-who-is-right-the-tax-journal-assesses-gauke-v-murphy","status":"publish","type":"post","link":"https:\/\/www.taxresearch.org.uk\/Blog\/2011\/03\/09\/the-tax-gap-who-is-right-the-tax-journal-assesses-gauke-v-murphy\/","title":{"rendered":"The Tax Gap, who is right? The Tax Journal assesses Gauke v Murphy"},"content":{"rendered":"

The Tax Journal is a serious UK professional tax journal, and today it has published an article<\/a> looking at the tax gap, written in the light of recent comments by David Gauke, the UK's Exchequer Secretary to the Treasury on this issue and my work.<\/p>\n

As the Tax Journal cautiously concludes:<\/p>\n

\n

As the analysis below illustrates \u2014 and Murphy accepts \u2014 his methodology in relation to corporate tax avoidance produces an estimate which inevitably includes an element of \u00e2\u20ac\u0161\u00c3\u201e\u00c3\u00b2legitimate’ tax planning.<\/p>\n

On the other hand, HMRC accepted that they may not be identifying all \u00e2\u20ac\u0161\u00c3\u201e\u00c3\u00b2tax risks’, suggesting that the two sides may not be as far apart as the headline figures suggest.<\/p>\n<\/blockquote>\n

That's obvious. It's all down to methodology. H M Revenue & Customs include in their estimate of the direct tax gap only those risks they can identify. That is, first they have to decide it is a risk - and as The Tax Journal acknowledges, I think there are more risks than they do. Second, they identify risk on the basis of the tax returns they get. But as data I will publish shortly shows, they're not getting vast amounts of the data that they are due. In that case they're bound to underestimate the risk.<\/p>\n

In that case I refute David Gauke's claim that I exaggerate this issue. Far from it: I fear he understates it.<\/a><\/p>\n

I argue for a macro analysis of the loss - a top down approach based on company accounts and also on macro analysis of the economy as a whole. The result is bound to be different - my sample base is broader for a start.<\/p>\n

But you decide it. My case is here<\/a> and here<\/a>. HMRC's here<\/a>. And the Tax Journal give you the chance to vote, here.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The Tax Journal is a serious UK professional tax journal, and today it has published an article looking at the tax gap, written in the
 Read the full article…<\/em><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[50],"tags":[],"class_list":["post-9114","post","type-post","status-publish","format-standard","hentry","category-tax-gap"],"_links":{"self":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/9114","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=9114"}],"version-history":[{"count":0,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/9114\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/media?parent=9114"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/categories?post=9114"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/tags?post=9114"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}