Tax Cheats

Guardian to fight legal action over Paradise Papers

Posted on Updated on

Read the rest of this entry »


“ExxonMobil paid no tax on $18 billion revenue, unions allege”

Posted on

Source: 3 December 2017

“Exxon is more aggressive in minimising its tax than Chevron, which agreed to a settlement believed to be worth more than $1 billion this year, after being taken to court by the Australian Taxation Office”

“Energy giant ExxonMobil​ has not paid a cent in corporate income tax in Australia in at least two years, despite reaping more than $18 billion from the nation’s natural resources, according to three ofd the company’s workplace unions.

Tax campaigners accuse the company of cashing in on Australia’s soaring gas prices, but avoiding paying tax on its profits by sending much of its money to a network of offshore companies, some based in notorious tax havens.”

Source article here

Labour to hire army of UK tax inspectors to claw back £36billion a year from cheats & dodgers

Posted on

Source: 2 September 2017

“John McDonnell says Labour would hire ­hundreds more tax ­inspectors to claw £36billion a year back from avoidance.

Mr McDonnell said: “Revenue and Customs has suffered terrible, counterproductive cuts, with even more on the horizon.”

“We need more, not less support for HMRC so that we can close the tax gap.”

HMRC is replacing 170 offices across the UK with 13 larger regional centres to save £83million. The shake-up means that 5,000 staff unable to relocate are expected to be lost.

Warning that Brexit will pile the pressure on HMRC with new customs borders, Mr McDonnell said: “It’s not a time for more cuts.”

Source article here


HMRC wins 22 out of 26 tax avoidance cases in 2016-17

Posted on

Source:, 23 August 2017

“In 2016-2017 HMRC only lost three out of 26 tax avoidance cases taken to court. It netted 22 wins and one mixed result, according to statistics published by HMRC.”

“Despite this minor decline in wins, Heather Self, partner at Pinsent Masons commented: “Anyone seeking to implement a complex tax avoidance scheme would have to be a confirmed optimist to assume they would win if the case is ultimately litigated.””

“Although shedding light on the types of violations that end up in court, Self noted that the cases do not illuminate on current behaviour of taxpayers, as most of the activities occurred several years ago.”

Source article here


HMRC wins again, ‘brain disorder research’ scheme guilty of tax avoidance

Posted on Updated on

Source: HMRC 20 July 2017

HM Revenue and Customs has won a legal battle against a tax avoidance scheme, which claimed £122 million was spent on research into brain disorders, when only £7 million of it reached a genuine research company.

The win against Brain Disorders Research Limited Partnership protects taxes worth £29 million.

The organisation said the money was going to research into depression and Attention Deficit Hyperactivity Disorder (ADHD) but they claimed reliefs on artificial loans and large amounts of capital allowances. Read the rest of this entry »

“Diageo told to pay £107m in extra tax” in UK profits row

Posted on

Source: 10th May 2017

“Diageo has been ordered to pay £107m by the UK tax authority as part of a long-running investigation into moving profit between its global businesses.

The drinks giant said that under the new Diverted Profits Tax regime, HMRC will ask for more tax and interest for the past two financial years.

Diageo said it would challenge the HMRC’s assessment.

However, the company said it will have to pay £107m then work with HMRC to resolve the issue.”

Source article here


GOOGLE, Apple and Microsoft are among seven multinationals facing substantial tax bills from the ATO

Posted on

Source:, 7 April 2107

GOOGLE, Apple and Microsoft are among seven multinationals being hit with substantial tax bills by the Australian Taxation Office. Earlier this month the ATO said it has served the companies with a combined $2.9 billion of liabilities.

Revenue and Financial Services Minister Kelly O’Dwyer said the move was part of a tough new approach by the Turnbull Government, which promised to strengthen the ATO’s powers in response to public outrage over the big profits being generated by such companies from their activities in Australia but paid little or no tax there.

The ATO is setting up audits of 59 multinationals and many other companies to ensure compliance with Australia’s taxation laws. 1000 accountants, lawyers and economists have been examining the books of the suspected tax cheats, with 71 company audits already under way including at least seven multinationals.

The ATO expects some of the companies to fight their tax bills in the Federal Court and others to settle out of court.

Source article here


U.S. Supreme Court rejects Dow over $1 billion tax deduction claim

Posted on Updated on

Source: 09.01.2017

On January 9th 2017 the U.S. Supreme Court declined to hear Dow Chemical Co’s bid to revive its claim to more than $1 billion in tax deductions based on partnerships the company entered into, that lower courts said were created primarily to avoid tax liability and had no legitimate business purpose.

The justices left in place two rulings by the New Orleans-based 5th U.S. Circuit Court of Appeals in favor of the U.S. government over the two partnerships that ran from 1993 to 2003.

The lower courts agreed with the Internal Revenue Service that Dow did not deserve the tax benefits, and also imposed a 20 percent penalty for negligence and substantial understatement of taxes.

Source articles here and here


HMRC’s criminal case highlights of 2016

Posted on

Source: HMRC Press Release 7th January 2017

HM Revenue and Customs has revealed its top ten most significant fraud and organised crime cases of 2016.

HMRC’s criminal investigations have led to 679 individuals being convicted for their part in tax crimes, with sentences for 2016 totalling more than 730 years.

Many of the cases won by HMRC in 2016 involved company directors, accountants and organised criminals. These individuals were involved in a wide range of criminal activity including excise smuggling, hiding assets from HMRC in offshore accounts, and frauds disguised as tax avoidance schemes.

The ten most significant cases each came with large prison sentences.

HMRC Press Release here


Jean-Claude Juncker blocked EU curbs on tax avoidance

Posted on

Source: 1 January 2017

The president of the European commission, Jean-Claude Juncker, spent years in his previous role as Luxembourg’s prime minister secretly blocking EU efforts to tackle tax avoidance by multinational corporations, leaked documents reveal.

Proposals opposed by Junker’s Luxembourg included; plans for tax authorities in each member state to subject their dealings with multinational businesses to peer review; an investigation into cross-border tax avoidance strategies, known as “hybrid mismatches”, often used by multinationals to conjure up artificial tax savings; improved information sharing between member states on tax deals granted to multinationals in private.

Source article here