Posts Tagged 'Taxation'

Hypocritical ICIJ stooges lead an assault on privacy to aid state theft of assets

Cyprus was just a stepping stone on a far bigger and more disturbing journey.

Over on EU Referendum, Richard draws attention to another – an ‘investigation’ into offshore tax havens that is leading the headlines in certain publications.  As he explains:

For the last few days in certain newspapers, the dominant story has been a collaborative affair, running under the general title of “Secrecy For Sale: Inside The Global Offshore Money Maze“.

Styled as “one of the largest and most complex cross border investigative projects in journalism history”, it is co-ordinated by the International Consortium of Investigative Journalists (ICIJ), working with more than 86 journalists in 46 countries in “an attempt to strip away the biggest mystery associated with tax havens: the owners of anonymous companies”.

He questions the motivation of those involved in this inquiry, and with very good reason.  For the ICIJ is an organisation with an unsavoury history – as this blog discussed last year – which is working to a particular ‘big state’ agenda.  For while the investigation ostensibly seeks to shine a light on the business of ‘dirty money’ and shady nominee companies, something it would be hard for anyone to take exception to, its real motivation is demonise tax havens and close down legal avenues for people to shield their wealth from taxation and confiscation by the wasteful, unrepresentative and self serving political class.

These are people for whom the concept of paying a ‘fair share’ is to say ‘you have money so we are taking it’.  It is a spiteful and devisive approach that feeds on the envy and resentment of people who are not as well off.

Whenever tax havens are discussed they are deliberately associated with ‘dirty money’, quasi criminality and tax evasion.  Yet as the paucity of identified wrongdoing demonstrates that it is mainly hard working, law abiding and successful people who use tax havens to legally avoid and minimise tax liability, and who are having their privacy assaulted as part of this effort to demonise the offshoring of assets.  Note with care the fact that the offshore arrangements of the paymasters of these ICIJ stooges, such as the owners of the Guardian, are strictly off limits.  Orwell’s pigs are taking control.

With its Marxist roots the ICIJ despises the concept of individuals taking steps to prevent government simply helping itself to the rewards other people have earned for hard work, entrepreneurship and personal risk.  This is why the ICIJ is devoting so much energy and resource to this campaign and in the absence of widespread wrongdoing is content to muddy the waters and talks of perfectly legal tax avoidance as if it is something criminal and shameful.  The sole aim is to close tax havens, further the goal of harmonising taxation policy around the globe, and enabling governments to attain the unfettered power to take from citizens, at will, anything they want when they want.  This is the global governance agenda writ large and occasioned by the continuing erosion of liberty, private ownership and personal freedom.

The only shame in all this is that so many people have been brainwashed by a succession of parasitical governments into believing the confiscation of wealth is a socially responsible activity – despite the fact taxpayers have no say in how the revenues seized from them are used and abused by the political class to buy votes at election time with bribes to net consumers, funded with money taken from net producers and irresponsibly borrowed by the billion without realistic means of repayment.

Instead of cheering this nefarious campaign, people should be opening their eyes and understanding this represents the dismantling of what stands between limited government, barely held at bay by the people, and total domination of the citizenry by the real criminals – the undemocratic, unaccountable and unelected elite and their minions in the political class.

Organised crime is the excuse being offered up to justify this campaign.  But it’s not about criminality, it’s about removing the last barriers to total domination of people by unaccountable governments and the vested interests that direct them from behind the scenes – individuals who will benefit from state sanctioned theft by the real organised criminals who are destroying the economies of the world and with them undermining the wealth and prospects of ordinary people.

A happy outcome in Cyprus!

For the ‘colleagues’…  The Cyprus Mail reports that:

EU funds co-financing Cyprus-based development and growth projects will be exempt from the deposit haircut, communications minister Tasos Mitsopoulos said yesterday.

Mitsopoulos said that the 37.5 per cent haircut on deposits larger than €100,000 held in the Bank of Cyprus would not impact EU funds.

“This development secures the smooth flow of resources from EU funds to Cyprus, and the continuation of any projects underway,” Mitsopoulos said.  He said that the happy outcome was the result of coordinated efforts by the government of Cyprus.

I’m sure every Cypriot depositor, whether an individual or small business owner, who has seen a large chunk of the money they have worked hard to accumulate stolen by the decree of the Cypriot government, European Union, European Central Bank and International Monetary Fund, will be delighted to see that government saw to it deposits in the banks belonging to the favoured few were exempt from confiscation.  A happy outcome indeed.

But then, why should the EU not benefit from the same shady deals that have been quietly arranged for political parties, politicians and their families, senior civil servants and corporate businessmen?  One rule for the elite, penury for the rest.

The moment you put your money in a bank it becomes theirs for the taking.  You’re only a creditor.  Now they’ve established the principle of the game, the only question is one of scale. There is nothing to stop them deciding to hoover up the deposits of those with less than €100,000 on deposit if they call it a tax and confiscate the money before a bank goes under.

Whose money is it exactly?

Hope you’ve all been keeping well while I’ve been taking a blog break. With the madness that surrounds us it’s always good (and sometimes necessary) to shut out the noise and clear one’s head of the idiocy and wrongheaded nonsense that defies reason and logic.

So, the horsing around continues. This essay isn’t about the horsemeat farce – Richard has been at his blistering best showing up the ignorance and incompetence of most politicians and journalists about food regulation and the EU’s competence control of it, and there’s really nothing I can add of value. Suffice to say if you have not read his post about the involvement of Nestlé in the scandal then you really should.

No, this is about the political arrogance and media’s hysteria and misrepresentation surrounding the subject of taxation.  According to a typically statist article in the Independent, tax avoidance schemes:

are costing the Treasury £5bn a year by exploiting loopholes in a complex system designed to help businesses, the Public Accounts Committee (PAC) said.

Apparently the committee was scathing about the performance of HMRC, which, it says, is losing a game of cat and mouse with companies that promote aggressive tax avoidance.

That assessment sums it up. Costing the Treasury money?  How very dare some people and firms try to keep what actually belongs to them.  While there is nothing new under the sun here, it is deserving of focus because of what it reminds us about what is wrong with governments of every stripe,  namely that they believe they are entitled to the money we earn – our money – and that it is theirs to do with whatsoever they wish.

Tax avoidance is perfectly legal and responsible, yet HMRC is being criticised by MPs for not collecting more money from businesses and individuals for whom there is no legal necessity to pay it.  Despite the actions of tax advisers, and the businesses and individuals who rightfully want to hold on to as much as possible of what they earned, MPs and HMRC are engaging in a game of setting traps to seize more money and demonising those people and businesses who manage to retain their money legally. Look at Starbucks, accused of not paying its fair share and disgracefully maligned by MPs and the media, it actually does make a loss in the UK even before its supposedly controversial (yet under EU law perfectly legal) transfer pricing to its European headquarters. Yet as a result it has been pressured into voluntarily paying over money to HMRC, worsening its UK losses and most likely resulting in cost cutting that could affect jobs.

This is an outrageous inversion of the way things are supposed to be. The state has assumed for itself the position of master, rather than servant. And when it doesn’t get what it wants it bullies, threatens, slanders and character assassinates those who justly stand up for themselves.  And now MPs are calling for this so called informal ‘naming and shaming‘ to be made into a formal approach.

The inversion looks set to be extended by something even more dangerous – as evidenced by a discussion on BBC Radio 4 this morning – where a recommendation was being made to follow the approach taken by the Australian tax authorities.  This is where schemes designed to be tax efficient are not permitted until they have been examined and then approved by the authorities. Such a change would represent a move away from a position where an action is lawful unless proscribed by law, to one where the action is considered illegal until permission for it is granted. This is not the definition of freedom within a society. It is defacto enslavement.

Lets not forget it is the state, in the guise of grubbing politicians continually making unsustainable and unfunded spending pledges, that has caused and is deepening the financial mess this country is in.  The same state thinks it can arrest the decades-old slow burn implosion of our economy by seizing more of our money. It is as desperate as it is futile.

The fact is successive governments have, over a period of decades, been buying votes with our money by inflating and extending the welfare state. The emergency safety net originally envisaged for the welfare state has been gradually replaced by unfunded gerrymandering to buy off voters, creating an unaffordable client state.

The notion of living within one’s means has been abandoned by many Britons and by the government itself.  Instead of government recognising it cannot keep doling out an ever increasing number of billions of pounds to people to subsidise their lives – even when they are actually working – and cutting welfare spending to all but the most needy and vulnerable, governments have embedded a handout culture that has been funded by ever increasing borrowing.  This has been exacerbated by the adoption of increasingly delusional and unaffordable European approaches to welfare combined with a rapid increase in eligibility for benefits for foreigners who come to these shores.

The system is broken and the UK is bankrupt in all but name, owing a total of 900% of what the whole economy generates. The irresponsible politicians and feckless fools who believe in something for nothing are to blame.  It is only low interest rates that are keeping the country clinging on by its fingertips as it tries to service ever rising debt repayments.  Yet incredibly this Cameron-led coagulation government which promised to tackle and reduce debt is actually borrowing even more money than the feckless Blair and Brown government before it.

If the UK economy was a business, the organs of the state would immediately close it down and ban its directors from ever running a company again. But instead we have desperate politicians engineering the state sanctioned theft by HMRC in a desperate last gasp effort to undo the folly that has built up over many years.  It is an utter waste of time because the government’s own policies add more to the debt burden than can ever be replaced by even 100% taxation.

So back to the original question in the title of this essay.  Whose money is it exactly?  The answer is simple and unsurprising.  The money we earn through our endeavours is ours. The tax system is being abused, but it is the irresponsible and profligate previous and current governments that have been abusing it and continue to abuse it for its own self serving ends.  In such circumstances it is not only understandable that people and businesses are aggressively looking to be as tax efficient as possible, moreso than ever they are completely justified in doing so.

Footnote:

It’s interesting that George Osborne has been finding that despite record levels of people in employment, the UK’s tax receipts have actually been falling.  It’s common sense really and not just because more people have part time rather than full time work.  Many more productive people have started working for themselves due to redundancy or uncertainty with existing employers, forming small limited companies, they are discovering they can set their tax arrangements to ensure they pay no income tax or national insurance.  In fact they can pay corporation tax only on company profits after allowable expenses, and as long as they keep dividend payments below the higher rate tax threshold they pay no tax on that either – with some doubling the tax free dividend amount in their household if their spouse is a shareholder in the company too. If their spouse is also a director of the company an extra £7,488 of tax and NI free income can be taken in by the household.

I know this because it’s what I am now doing and it means for taking a small risk by being self employed I can keep more of what I earn.  It’s worth any fight with HMRC for the reward and the sheer bloody satisfaction of not having as much of my hare earned money pissed up the wall on moronic pet projects like wind turbines and imported benefits claimants by the useless idiots in Whitehall. Forget the claims that the Thatcher era made people selfish. It’s this supposed compassionate era since that is making people say enough is enough and look to themselves. The money I earn is being used to clear all my household’s debt and to purchase gold which will hold its value far better than our steadily devaluing paper currency, so I can leave something with intrinsic value for my children in what is likely to be a harsher economic climate that even that we have today.

The popular mass movement that is UK Uncut

The furious grassroots uprising against Starbucks for acting in a legal manner took place yesterday.  At my local Starbucks the protest was unleashed with full fury, to the extent that the local press in Northampton was moved to sending a photographer to the scene to capture the moment.

But before we take a look at the image, let us remind ourselves how UK Uncut framed the protest.

Protestors plan to transform Starbucks into refuges, crèches and homeless shelters in protest against impact of government’s cuts on women.  [...]  Women’s groups and local UK Uncut groups from Glasgow to Belfast to Portsmouth will be participating in their biggest national day of action yet on Saturday 8th December, targeting Starbucks coffee stores in protest against the government’s spending cuts that are hurting women.

So, on to that picture…

As you can see, there’s not just a noticable absence of protesters, there is a complete absence of, erm, women.  There’s no creche or refuge on show either.  It’s always nice to see committed souls going out to protest on behalf of those they feel are being hard done by – especially when those who are being hard done by are too busy doing other things to participate themselves.

With a delicious lack of self awareness, this group told the local media it calls itself the Northampton Alliance to Defend Services, or NADS.  No disagreement here. Although there don’t seem to be many allies for a Saturday morning.

This kind of suggests UK Uncut isn’t quite the popular grassroots movement it has been painted as by the likes of the BBC.  Consisting of just a few trade union activists, the inevitable placards and trademark rucksacks this doesn’t represent anything close to people power.  In fact it seems to be something of a rather vocal tiny minority.  Perhaps given the BBC’s affection for minorities that share their worldview it is understandable how UK Uncut gets such disproportionate coverage.

Regardless, we can now see what an irrelevance UK Uncut is. It’s time for the hysteria to end.

UK Uncut protest is not about fairness, it’s about vindictive jealousy

Sarah Greene, a UK Uncut activist, said: “The Government could easily bring in billions that could fund vital services by clamping down.”

Autonomous Mind, a UK-based blogger, said: “The Government could also easily fund those vital services by not wasting money on grotesque subsidies for wheezes such as wind turbines, not sending billions of pounds of our hard earned cash overseas to be wasted on UN mandated eco-schemes that only benefit a small group of global corporate businesses, not funding accommodation, welfare and health provision for migrants who arrive here and make use of them without ever contributing a penny, and spending billions on funding a MoD that is actually larger than the armed forces and whose senior civil servants procure overpriced equipment with no practical use simply to enrich the arms companies they hope to work for after early retirement.

“Protesting about the financial effect of those scandals would be ‘fair’.  But fixing those wrongs won’t address the desire of these ‘progressive’ protesters to target their bile at those they are envious of and whose money they want to benefit from, without the inconvenience of having to work for it.”

In defence of Starbucks

There are few groupings more ignorant, deluded and wrongheaded as Labour Party front organisation, UK Uncut.  On Saturday this bunch of Fabian virtue farmers, whose mindset is if a person or company is successful and has some money it is only ‘fair’ they should have it taken of them by the state to use on others who all too often are not vulnerable but simply can’t be bothered to earn for themselves, plan to protest at Starbucks shops up and down the UK.

Starbucks have structured their business to maximise the return for its owners and investors.  That is what a business exists for.  They are being outrageously and unfairly maligned by groups like UK Uncut and Westminster’s money grubbing politicians who are blackmailing Starbucks into not using legal taxation structures in Europe so they pay tax to the UK exchequer regardless of whether the company structure means laid down royalty payments to the European HQ results in a trading loss.  As Helen observes, the £20m over two years Starbucks have volunteered to pay, is protection money.

Starbucks, which is working within the rules devised and handed down by the same European Union most of the UK Uncut bedwetters adore so much, have headquartered their European operations in the Netherlands to take advantage of an advantageous corporation tax deal that was offered to them by the Dutch.  The Netherlands exchequer therefore benefits from offering a competitive lower rate instead of going out of its way to treat the business as a cash cow and snatch as much of its money as possible.

There’s a lesson in that for the UK’s politicians who, so used to troughing from the public purse for their expenses, believe the state should do the same only from the bank balances of companies.  Fairness is not a one-way street that only runs in the state’s favour.  But then, how could we expect any sort of common sense from politicians when the likes of Lib Dem Treasury Spokesman, Stephen Williams, opines:

Tax is something that is a legal obligation that you should pay according to the tax rules of a particular country.

Which, FFS, is exactly what Starbucks have been doing.  So what’s this troughing moron’s problem?  Like the rest of the political class, he doesn’t like the rules he signed up to when desperately licking the EU’s arse.  So instead of taking issue with the rules he no doubt agreed with, or didn’t read, he chooses to shift blame on the law abiding company which is based in the Netherlands and pays its corporation tax there.  I’m sure he wouldn’t mind, say, HSBC paying its corporation tax here where it is based, but not in another country.

So on Saturday, while the protesters who always seem to have so much time on their hands, doss around at a Starbucks near me, I will take some time out from earning some money and spend some of it in the shop.  Not because I’m a fan of Starbucks, I have visited their shops twice; but to mark the principle that a government shouldn’t blackmail any company into paying money it does not owe by inciting rent-a-mob state clients to launch boycotts and protests to damage that company’s revenues.

If UK Uncut and the Guardianistas who fawn over their little Fabian friends want to protest about unfairness, they should start by demonstrating against the politicians who squander money and then come back to raid individuals and companies for even more.  If the government was ‘fair’ and only took the bare minimum needed to provide essential services and infrastructure, all working individuals and companies would be able to pay less – resulting in a reduced appetite for minimising their tax liabilities.

Indeed, if the system was truly fair the people would actually be asked for approval by the government to spend money.  If they didn’t want, for example, £2 billion of our hard earned being sent overseas to Colombian cattle farmers and companies installing wind turbines in Africa, they could block the expenditure.  If people wanted more money spent on services for the elderly, or money put into hospice provision, then the government as our servants would have to do that.  But of course the reality is the corrupt gerrymandering we see where successive governments buy off voters by diverting some of our cash to those people whose votes they want to secure, then spending the rest as they see fit without any form of accountability.

This state of affairs isn’t the fault of Starbucks, Amazon or Google.  And the current harrassment of them – and the barely known small businesses being made to feel like criminals for making use of legal tax reliefs – by some of the biggest hypocrites on the face of the planet is a crass smokescreen.

A pearl of wisdom in the Telegraph

Naturally it’s one of the comments left by a reader rather than an article per se…  The quote below that the commenter (subwus) shared comes from a book, Saturn’s Children – How the State Devours Liberty, Prosperity and Virtue.  The authors were Tory MP Alan Duncan and Dominic Hobson:

“It was in order to avoid the attentions of intrusive, inquisitorial and self-interested bureaucracies such as the modern Inland Revenue and the Customs and Excise that voters long insisted that the State fund its activities largely through indirect rather than direct taxes.

Previous generations regarded direct taxation as utterly inconsonant with liberty.From the time of John Locke to the advent of the collectivist age, when Natural Rights were supplanted with the administrative right of the government to levy whatever taxes it judges fit or necessary, most people in Britain regarded their right not to be taxed as rooted in the Natural Law.

History had taught them that it is taxation which enables the State to crush the liberty of the individual – that infinite money is the sinews of all forms of State power, and not just of war – and that well-financed governments are even more capable of pursuing policies which are dangerous, misguided or foolish (the previous Labour administration is a good example I would say) than poorly financed ones.

Throughout history people resisted those taxes – Poll Tax, Hearth Tax, even a universal excise or an accurate wealth tax – which necessitated an unconscionable invasion of personal privacy and freedom. They knew from bitter experience that the essence of any tax is the taking of money, property or a service by the State without paying for it, and that transactions of that kind can only be sustained by a mixture of fear and punitive sanctions.

All taxation was of necessity tyrannical, and a great tax was a great tyranny, but a direct tax was potentially the most tyrannical of all. It was the point of naked confrontation between the individual and the State, where the State had the power to ask how much money each individual had, how he earned it, and how he chose to spend it.”

‘How times have changed,’ subwus goes on to say.  He continues, ‘Now the Tories are trying to justify more expansion of the tax bureaucracy to intrude into the lives of ordinary people. Then again, I gave up on the Tories meaningfully rolling back the State years ago.’

Indeed. The reason why so many people have given up on the Tories is they have sold out their principles.  They no longer believe in anything apart from power for its own sake.  They have realised that embracing the ruinous system rather than reforming it pays for them and the powerbrokers they bow to behind the scenes, regardless of the damage it does to the legion of smaller wealth creators who just need the state to get off their back.

What the extract above does is prove a rule of thumb holds, that we should judge them by their actions, not their fine, soothing words.

The Swiss paradox

After all that has been written on this blog about the government’s war to seize other people’s money without legal justification, it was nice to see James Higham’s piece about an interesting snippet of Swiss history.

It’s worth remembering that while western European governments – particularly our supposedly ‘business friendly’ morons in Westminster – strive to misappropriate more money in taxes from individuals and businesses, independent Switzerland is being put under huge pressure by the EU to raise taxes to EU levels and adopt EU law.

This is something we’ve covered before.  The aim is to pressure countries outside the EU to make their tax systems as thoroughly harmful to business and individuals as those inside the EU, so no matter where a company or person goes they will have a government helping itself to copious amounts of their money.  It is tax injustice, a blatant effort to financially imprison firms and people.  It is also naked anti-competitiveness writ large; a transnational war by governments on the people they are supposed to serve.

200 years after Swiss troops fought defensive actions against the enemies of a meglomaniac who sought to unite Europe under his rule, the Swiss people are now on the other side of the fence, fighting a defensive action against a meglomaniac entity that is seeking to achieve the same end… worryingly with rather more success.  Many people who believe in the nation state and people power will be hoping the Swiss win this time around.

Having damaged our economy the politicians ramp up their cash grab extortion racket

First we had that doyenne of rank hypocrisy, Margaret Hodge, given a free ride on BBC Radio 4 Today to label companies looking to minimise their tax liabilities as ‘immoral’. She’s a fine one to talk.

Now we have Chief Secretary to the Treasury, Danny Alexander, signalling the government’s plan to demand more than their legal share of tax money with menaces. The Lib Dem minister, who says he has been boycotting Starbucks over its low tax bill, is now promising to “get under the skin” of those who do not pay their fair share.  The  Cosa Nostra are positively benign in comparison to this lot.

Alexander said on the Today programme that “public pressure” is an important tool in getting companies to change their behaviour.  He went on to say there is evidence people are already taking their custom away from companies that do pay little or no UK tax, such as Starbucks, Amazon and Google.  That is exactly what the government’s money with menaces campaign has been striving to achieve and it’s having the desired effect.

We are witnessing an extortion racket in action aided and abetted by the media, where the envy and resentment of less well off people who are trapped in PAYE is a well being tapped to help bring about what the government wants, despite the fact the government is not legally entitled to any extra money.   The consequences of not sacrificing exemptions and deductions and handing over additional money is that the state, and its establishment lackies, will do what Hodge and Alexander are already doing and work to destroy the reputation of those businesses by encouraging consumers through example to boycott them.  And this from a government that describes itself as pro-business, in a c0untry it describes as open for business.

‘We know no spectacle so ridiculous,’ wrote Thomas Macaulay some 175 years ago, ‘as the British public in one of its periodical fits of morality.’  The government and parts of the media have successfully whipped up one such huge scale fit and are running a racket to pressure companies to voluntarily pay more in tax than they are legally obligated to.  It’s an outrageous campaign that too many people are too blind to see for what it is.

The result that all too few people are considering is that prices will rise to offset the increased cost of doing business in this country.  Many of the very people who are clamouring loudest for ‘fairness’ and more taxation will unwittingly be disproportionately affected by this because the higher costs will ultimately be footed by the consumer.  Who will they demonise then?

The government won’t care for it will have more money to squander on non essential spending like the hundreds of billions that have been pissed up the wall for no public benefit before it.  Perhaps people would do well to remember that a government big enough to give you what you want is a government big enough to take from you all you have.

A victory for state sanctioned and engineered bullying and intimidation

Following on from the BBC-enabled Margaret Hodge hypocrisy fest on the Today programme this morning…

American citizen Sam Bloggs, who when in Europe is resident in the Netherlands and pays tax on his earnings in full there, has told the UK government he is going to voluntarily pay more tax to the Exchequer than required by law, following a sustained campaign by his neighbours who argue that because he has a lot of money and he should pay more here.

Bloggs had followed the letter of the law enabling free movement of trade and capital in the EU after taking advice from taxation specialists.  But following his hard work and success in building up his worldwide franchise business, which indirectly employs a large number of people and contributes a substantial sum in tax and National Insurance to this country’s coffers, he was subjected to an onslaught of vilification in the media and even in Parliament.  Bloggs told AM:

My business model has helped create companies, wealth and jobs, generated substantial tax income and contributed a great deal through National Insurance in the UK. I give money and time to charity, working with the Fairtrade Foundation and supporting the Prince’s Trust through a partnership agreement even though I’m not based in Britain.

But because I’ve been fortunate enough to be successful a number of people and politicians have demanded I pay more than the rules say I am obligated to. They say it’s not fair that I’ve been successful and earned a lot of money and pay full tax in Holland instead of here.  Because I’ve earned it and got it they say fairness dictates they should have it instead.  They say they want it and they make the rules so therefore they’re entitled to it.

It means I’ll have less money to invest in creating more opportunities and supporting charity, but if I don’t make these additional payments some people are going to keep smearing me and telling people to boycott my brand.

State sanctioned and engineered bullying and intimidation has won the day for the feckless incompetents.  When will people wake up and say enough is enough?

Those who fritter away our money – not just on deserving vulnerable people in our society in need of support – on those who think they have a right to be kept in return for nothing, on those who come to this country to take advantage of the enhanced suite of benefits and services they have never contributed a penny to, and worst of all on massive handouts to the establishment’s friends who farm taxpayer subsidies for all manner of wheezes on an industrial scale to boost their already substantial wealth, are demanding even more money with menaces while hoodwinking the unthinking into applying the necessary pressure to make it possible.

The pressure to fork over ever more money to the government is not just being applied to the likes of Starbucks and Amazon.  Via the spiteful tactics of HMRC conducted outside the view of the public, it’s happening to small businessmen too, driving some out of business altogether.  And the state calls this ‘fair’.  Bollocks!

When will the state’s increasingly untrammelled power become ‘too much’?

‘You have money and we are taking it.’  This increasingly the attitude of the British government and its agencies and it is a phenomenon stretching across Europe and into the Americas.

In fairness to the state it has played a blinder.  It has successfully turned one part of society, the less well off, more aggressively against better off members of society, despite the fact the less well off stand to gain nothing from an increase in the tax take.  The only beneficiary is the government which possesses an almost limitless capacity for squandering the money and leaving the country with nothing to show for it.

What used to be simple envy or disdain of the better off has been transformed into resentment and outright hostility.  The media has been an willing accomplice, fanning the flames and parroting a narrative that anyone who seeks to keep their tax liabilities to a minimum is somehow being unfair to the rest of society, not paying their fair share and by definition morally repugnant.

The hostility first became entrenched when it was directed at the lavishly remunerated corporate officers and the bonus happy bankers.  But now it has broadened to encompass anyone who is not an average PAYE employee.

Never mind that many of those people being subjected to unjust anger have taken huge risks to build businesses and create jobs, while working 18 hour days, going without holidays, not being able to spend time with their families and working when unwell because there is no luxury of sick pay to fall back on.  No, unless their pockets are being turned out to satisfy the state’s fetish for controlling how their money is spent, without any form of consultation or consent, they are the most selfish scum of the earth.

So it is against that backdrop of sown division, mistrust and resentment that two stories this weekend combine to paint a picture of our elected and supposed representatives running out of control, rigging the rules against the ‘ordinary’ citizens to suit ideological interests they have adopted from a plethora of unelected and unaccountable bodies that are positioning themselves as a de facto global administration.

The first story concerns the shocking actions of Her Majesty’s Revenue and Customs (HMRC) falsely accusing a company’s directors of fraud, shutting down the company making over 30 people unemployed and using draconian powers that prevent the former owners from challenging the action through the courts while pressuring them to settle the accusation with payment to cover the alleged £7 million in taxes and duties.  There was no evidence.  All this happened on the basis of a suspicion that something fraudulent was going on.  Indeed, HRMC’s defence of their actions was to state there was no evidence the company wasn’t acting fraudulently, a clear inversion of the principles of justice.

The second story concerns HRMC tearing up the basic principles of privacy and data protection.  At the behest of the government, HRMC is to use credit reference agencies to cross-check details of the income people declare on their tax returns against their spending patterns to identify “high” and “medium” risks of both illegal and legal tax avoidance.  As we have said on this blog and Twitter before, tax evasion is a crime, but tax avoidance is perfectly legal.  So why should HMRC bother checking to see if people are legally minimising their tax liability?  The clue can be found in the comment by the Chief Secretary to the Treasury, Danny Alexander:

“It is simply not fair that at a time when most people are making a contribution to balancing the nation’s books, there is a small minority of taxpayers who try to escape their responsibility.”

Really? Who determines what is ‘fair’?  Never mind that some of these people pay more in tax each year than a lot of other people earn.  Never mind the risks and sacrifices many of them have made as detailed above.  No, they are supposedly escaping their ‘responsibility’ – a word the definition of which governments of every stripe over the last 20 years or more have simply not grasped and believe to be a one-way street that travels in their direction.

We are witnessing a concerted effort to demonise those who have something the government wants in order to enable the government to use nefarious mechanisms to obtain it.  In the eyes of the government – as it stokes up the spiteful societal divisions it is fostering by using vocal members of the less well off as useful idiots to demand exactly that which the government wishes to do – this state over reach is justified for being a populist measure demanded by the public.  And for fear of kneejerk vilification, by the unthinking useful idiots and hypocritical, comfortably wealthy trough hogging politicians, many reasonable and right thinking people who see the wrong-headedness of the government’s behaviour and irresponsible waste of our resources, keep quiet.  This is the UK in 2012.

Small wonder we see cries of frustration such as this in response to the tightening grip our supposed servants are exerting on ordinary people.  Common sense is evaporating and manipulation of the people by those who make the rules is all pervasive.  What will it take before the slumbering masses wake up and realise the state’s self conferred and increasingly untrammelled power has become too much?  When will people take the power back?

Europe isn’t working

It would be easy to take that sentiment and apply it as an observation of the Euro and the EU in general.  But that isn’t what is meant.  The reference concerns the news that for the first time ever there are more than 25 million people across the 27 member states who are unemployed.

As government has grown, both at EU and national level, and hyperactively sought to increasingly regulate and legislate in ever more spheres of business life it should come as no surprise that the jobless total has risen.  The notion that government has the duty to direct everything for the ‘good of society’ comes at a price and part of the cost is the shocking unemployment and lack of competitiveness.

Rising taxation and ever growing government budgetary needs should be a warning claxon, not as some would have it, a cause for relief that something is being done.  We need smaller government that takes less from us and borrows less and focuses on essential public services.

No doubt some tribal Tories would see that assertion and rush to claim David Cameron is championing that very approach with his theatric threat to veto the EU budget.  Deeds, not words, matter and when it comes to reality the fact is the UK with its claims of deficit busting austerity is actually taxing, borrowing and spending more than Labour did.

All the political elites talk about ‘sustainability’.  But just what is sustainable about the current disturbing approach to managing the economy?  The European approach to governance has failed.  The absence of real democracy, where the people would decide if their servants can spend and borrow money for their pet projects, is the root cause of this collapse.  Until people take back the power grabbed by the political elite and their corporate sponsors this state of affairs will continue.

Charitable giving, tax relief and the agenda ridden media

Regular readers will know I hold no brief for the Conservatives, let alone any other party.  And regular readers also know my view that the tax burden in this country is far too high because the administration cannot resist spending grotesque amounts of our money on non-essential wheezes that all too often deliver nothing close to taxpayer value.  But while I resent the political class and much of what it stands for, I have a particular disdain for the useless hacks that pass for journalists in this country.

The fourth estate likes its storms in tea cups and the near saturation coverage in recent days of the limits on tax relief for charitable giving by wealthy people is the latest receptacle-centric tempest to catch the goldfish-like attention span of the news media.

Numbers have been chewed over.  Philanthropists have been given unchallenged platforms from which to attack the budget measure.  Labour has been given an open microphone to hurl invective at the coagulation administration.  Fair enough, many might say.

But in all the column acres of newsprint and hours of pontificating on the airwaves, I have yet to hear one reporter explain to the public that wealthy people are not being stopped from giving money to charities.  As much as I resent tax grabs, all the Conservatives and Limp Dims have done is say that wealthy people will not be able to reduce their tax burden quite so much simply by giving away shed loads of cash to various causes.

The whining and pontificating of charitable donors and spokesmen of various charities (faux and otherwise) whipped up by the media, is entirely self serving.  These are the very same people the media has been attacking as fat cats and troughers for not paying their ‘fair share’ in tax.  Yet the media now supports these people because they supposedly want to give away a fortune to good causes, but will now have to pay tax when doing so above certain levels – all because of the evil Tories and their Limp Dumb stooges apparently.

It really says something about how biased and useless our media is when they are too stupid or simply refuse to put the story into proper context for the public.  What these wealthy donors are saying is they will not give as much money to charity because in doing so there isn’t as much in it for them.  Read that again.  These wealthy donors are apparently desperate to give money to good causes, but many will now not do so to the same extent because they will have to pay tax on some of what they earned.

The only rational conclusion that can be drawn from this wailing and gnashing of teeth is that the real motivation for many donors giving money to good causes was not a desire to do good, but a desire to cut the amount they pay in tax.  Good for them, I say.  If there is a loophole that enables someone to withhold some of their money from the kleptomanics in Whitehall, then they are entitled to use it.  But they should be honest about their motivations and people should also understand the media is hiding the reality of these vested interest donations in order to service some other agenda.

This is just yet more evidence that we cannot trust anything the media says.

Liverpool City Council’s latest money making scheme

In November a trawl of local newspapers unearthed this little story in the Liverpool Echo.

It is another example of local authorities looking for opportunities to use their official status to forcibly part people from their money, while increasing the powers and adding to the weight of regulation for which they are responsible for enforcing:

BUSKERS could soon have to hold a permit to play in Liverpool under new plans being drawn up by Liverpool Council bosses.

Proposals due to be put to the council’s cabinet before the end of the year could see street musicians told to buy a licence – and then being limited to when and where they can play and for how long.

Performers would also be required to take out costly public liability insurance.

Importantly, the article went on to tell readers that:

A council spokesman described the current arrangement as a “free for all” and said the proposals came in response to requests for better regulation from the public, city shopkeepers and even other buskers.

One thing that never rings quite true is a claim from a council that residents and businesses want more regulation and officialdom.  So AM sent a Freedom of Information request to Liverpool City Council to see their evidence for this claim.  The response arrived during the hectic pre-Christmas period, hence the delay in writing this up.  It is shown in full below:

Imagine my shock and surprise to find the response provides no formal evidence whatsoever for Liverpool’s council officers to justify the regulation and increase in council powers!  Yet the officers are asking councillors to put the regulation into force.  Clearly the questions are a little too inconvenient, hence the response being packed with text that is irrelevant to the FOI enquiry.

Liverpool City Council is setting itself up as the judge and jury of which performers are the ‘more professional entertainers’ thereby stopping others from plying their trade and perhaps being noticed by someone who might open doors for them to build a career.  The people who benefit are the City Council and their approved entertainers, creating the conditions for cronyism and backroom deals.

Drunk on power and free from anything approaching proper oversight and control by elected councillors, this is another example of councils serving their own interests at the expense of the taxpayers; who are treated as nothing more than cash cows to fund the whims and biases of officers and their bumper salaries and generous pension schemes.

AM has written back to Liverpool City Council asking for a copy of the papers officers have prepared for elected councillors about this recommedation to see all of the evidence the decision will be based upon.

The next European war

During my recent days of inactivity we have been treated to/forced to endure* (delete as appropriate) the grand theatrics of the EU elite, supposedly shoring up the Euro by creating a €1 trillion ‘bail out fund’.

Only, this being the deluded EU daydreamers at work, the figure broadcast to the world was unfunded.  It was plucked out of thin air before those who were going to contribute to it had even been asked – or in the case of European taxpayers, told – to hand over money.

But then came the warning that has been held in reserve for years by the integrationist elite. It fell to Germany’s Angela Merkel to deliver it:

Another half century of peace and prosperity in Europe is not to be taken for granted. If the euro fails, Europe fails. We have a historical obligation: to protect by all means Europe’s unification process begun by our forefathers after centuries of hatred and blood spill. None of us can foresee what the consequences would be if we were to fail.

The message was clear, if we don’t back the financial lunacy and the ever closer political and fiscal union being foisted upon us by the bureaucrats, the uber wealthy and their political drones, then the consequence could be another war in Europe.

However, Merkel and her ilk have got it wrong.  A failure of the Euro and the EU does not mean Europe will be plunged into war.  The political class across Europe is broadly united, so who would be declaring war on whom and for what reason?  Besides, the military capability of the European states has been so degraded by politicians jumping on the ‘peace dividend’ bandwagon their war fighting potential has been dramatically reduced.  Not to mention the fluffy bunny political correctness that spread like a sore across the continent and which sought to remove aggression from the fighting men, and turn them into armed humanitarian relief workers and ineffective peacekeepers who baulk at the first sign of conflict.

No, the prospect of war is made more likely by the political elite and their backers continuing along this doomed integrationist path.

It won’t be the military units of the European countries being pitted against one another, the scenario which with Merkel is trying to scare people into passive, obedient consent.  It will be ordinary people turning on the political class for stealing their democracy and pursuing self serving interests that are bringing about the ruination of economies and have already undermined social structures and cohesion.

The next European war will not be a planned and deliberate military action.  It will be the result of civil strife borne of the rejection of anti democratic hegemony as the people take back what has been stolen from them.

But as usual no one inside the bubble, politico or journalist, can see it.  When it happens they will be the only ones not to have seen it coming.

BBC luvvies deceive to defend the Licence Fee

While driving home from work on Friday I happened across the News Quiz on BBC Radio 4.  Noted for its left-of-Marx political ‘humour’ and sneering jibes against anyone outside the BBC’s narrow subset of acceptable viewpoints, I decided to see what it would throw up this time.

It wasn’t long before the rent seekers of Toksvig and Co managed to take time out from their script to criticise anyone who dares oppose the idea of being compelled by statute to pay for the BBC as you can hear in the clip below:

 

Andy Hamilton’s attempt to justify the licence fee by arguing that everyone funds ITV through a purchase tax is laughable.

As for La Toksvig being ‘enraged’ that some people happily pay £60 per month for Sky TV yet complain about the BBC providing all this ‘good stuff’ for just £145 per year, she completely and willfully misses the point.  People with a television set have a choice whether or not to buy Sky yet no choice about funding the BBC, despite routinely being ill served by BBC bias by omission, and the corporation hiding behind Freedom of Information exemptions in order to avoid accountability and public oversight of its editorial direction.

Richard North in Daily Mail’s RightMinds

There is nothing like having a substantial platform in a mass readership entity to convey an important perspective on an essential topic. But thanks to the RightMinds section in the Mail, that is what Dr Richard North of EU Referendum has secured in order to carry a vitally important message to the wider public.  If you’ve not already seen the piece it is well deserving of a few minutes of your time.

Their continuing ignorance and a very interesting conversation

Another day, another story of the UK political class moaning about the consequences of EU membership.  This time the Daily Mail reports the ‘news’ that:

The European Commission yesterday revealed budget demands which would cost UK taxpayers £10billion.

Well, that is what governments do, they create taxes when they want to raise more money.  And the face is the EU is our government, despite the people of this country never being asked to give a mandate for it. This blog picked up on comments preparing the way for the EU’s new taxation approach over six months ago being discussed right out there in plain sight.  But what is telling about this EU taxation story is the Mail’s observation that:

In what Treasury officials viewed as one of the most outrageous power grabs in recent memory, they demanded the right to raise a Europe-wide sales tax.

What a load of utter crap.  It is not a power grab.  The EU has been given the power to do this by the quisling politicians sent to Westminster over the last three decades by the voters of this country.

Of course no EU story is complete without Downing Street spokesmen and women rushing forth with comments indicating the supposed frustration and/or outrage of the Cameron-run coagulation.  But what will cast-iron Dave actually do about it?  The answer to that is the sum total of diddly squat.

If Cameron truly wanted this country to be independent once again and run its own affairs he need only call a binding referendum asking the British people if they wish the UK to remain bound by the anti democratic EU.  But as Cameron made clear in November last year, he is keeping that firmly off the table:

I do not believe in an in-out referendum for many reasons. I think we are better off in the European Union—we have to fight our corner very hard—but I would grant a referendum if there were any proposed transfer of powers from Westminster to Brussels.

At least the first part of that sentence was honest. The second part was a lie, as demonstrated so clearly by East Midlands Tory MEP Roger Helmer, who last week in ConservativeHome reminded people that the Conservative-LibDem cobbleition are transferring new powers to the EU faster than the previous Labour administration did. Did any of you spot a passing referendum asking for your permission?

The timing of this is rather amusing as it follows a week after AM had a long chat with a member of the Conservative Party Board.  The board member wanted to know, over two years on, why AM had walked away from the Conservative Party.  They were familiar with the arguments, after all they have heard them time and again as a third of the membership has deserted since Cameron become party leader.

But the board member implored me to understand that Cameron is a man with a plan.  The plan apparently is to pick a fight with the EU next year and use that to justify a referendum he apparently wants, although he will make it appear to his EU friends that he is doing this with all reluctance.  When it was pointed out to the board member that the Cameron led administration has granted more power to the EU in the last year more quickly than Labour managed, AM was told to wait and see.

The notion of Cameron being a strategic genius who will throw off his cloak of Europhilia and reveal his inner democratic nationalist is laughable given the catalogue of pro EU actions to date.  So it seems the ignorance is all pervasive and the effort to make us buy into it is being reinforced at every opportunity.  The gullible constituency where this idea is being swallowed is obvious to all who look – the British media.

Taking back power and imposing discipline on our politicians

This is a subject to which I will turn my attention properly in the days to come.  But for now I offer this partial cross-post to remind readers that in order for the people to take back primacy we need to focus our power.  As Richard North has says in his thought provoking post:

To focus our power, we too need to adopt an ideology. In essence, we have one – one which underwrites the supremacy of the individual and positions the State as the servant, not the master. Referism – control over the budget – is a means by which we exercise our power. If there is a better way, I am open to offers.

The next question is: where do we start? The answer is here, on the blogosphere. We have a number of fine, independent blogs, written by independently-minded people. There is now a blog covering these – Independent Political Bloggers.

As if to underline their independence, I don’t always agree with everything that write.  But collectively, between us we reflect the views of our readers. If we did not, we would not have a readership. Now ask, from where does the BBC and the MSM get its power? Why do politicians listen to them, fear them and curry their favours? We are back to the numbers game.

Grow the independent political blogosphere. And if you have a view, start your own blog. We will support you. Want a voice? Either as reader or writer, or both, you have it … your call.

Lucky UK has a massive 40% of Big Wind!

A Guest post by Martin Brumby

“Blow, winds, and crack your cheeks! rage! blow!”
(King Lear Act III)

I’m sure readers here will be aware that Big Wind’s advocates and defenders are weapons grade Porkie-Pie Men. Not even “Climate Scientists” can quite match them for sheer mendacity. A few days ago AM was kind enough to offer me a Guest Posting on Buff Huhne’s claim that we now produce 7% of our electricity from renewables.

Despite having to correct part of this (see comments), there’s nothing wrong with the conclusion that nothing like 7% of our electricity is renewable. More like 2 – 3%, and most of that is on warm, windy nights when we really don’t need it.

Today I thought I’d like to look at another common claim – the suggestion that the UK has 40% of Europe’s wind. I’m not sure that I can finger Buff Huhne or his egregious predecessor little Eddie Milipede with using this, although they may well have done. I’ve certainly heard it from one of the BBC’s Three Stooges. And a bit of searching on the internet throws up multiple instances of the claim:

40% of all the wind energy in Europe blows over the UK, making it an ideal country for small domestic turbines.”

“Did you know 40% of all the wind energy in Europe blows over the UK.?”

“Due to a combination of its latitude (at the boundary of the Ferrel and Polar Cells) and the lack of landmass in the prevailing south-westerly wind direction, the UK is fortunate to have much higher wind speeds than those in continental Europe. Indeed the BWEA has estimated that the UK has some 40% of the Europe’s total wind resource.” [Wot about Ireland? Isn’t that a landmass? M.B.]

“Wind energy has historically been converted into mechanical energy to pump water or grind grain but the principle application today is electricity generation. The UK receives 40% of Europe’s total wind energy but we currently generate only 0.5% of our electricity using wind.”

There’s load of these, all parroted but never with any citation or justification. But what’s this?

Downloading their dismal “Report” [Introduction:- Sir John Houghton, “Former Co-Chair of the Intergovernmental Panel on Climate Change” et al, partners and funders including the UEA and Mystic MET – your tax pounds at work] we read:-

“Wind is a vast energy source with an enormous job creation potential. The UK holds 40% of the EU’s total wind resource, but only 4.2% of its total installed capacity (Lambert, 2008).”

Hmmm. “Lambert, 2008” Surely that must be a proper, ‘peer-reviewed’ paper?  Well, not really. It turns out to be a bit of black propaganda by Jean Lambert, Green Party MEP for London.  She says:

“Clearly the UK has huge potential for investment in wind energy, and is the windiest country in Europe, with 40% of the EU’s entire wind resources. The British Wind Energy Association estimates that the UK could be meeting 35% of its electricity needs from wind by 2020.34 With the UK accounting for only 4.2% of the EU’s total installed wind power capacity, it’s hard not to see this as a hugely wasted opportunity and as a damning failure of Government.”

So where does Ms. Lambert get this gem from, the BWEA? Hmmm. That’s like taking advice on patient care from Dr. Harold Shipman. The BWEA is now the Renewable Energy World. And Lambert’s quoted “paper” seems to be this which contains:-

“The UK has 40 percent of Europe’s entire wind resource and with these abundant resources we should be a world leader in renewable energy generation,” said the statement from BWEA. “Although the UK currently trails behind our European partners’ levels of renewable generation, the UK has doubled its wind energy capacity over the past 20 months. The equivalent of 6 percent of the UK’s electricity supply remains held up in the planning system from onshore wind energy projects alone, which means the UK can meet its 2010 targets and set the stage to meet for more ambitious targets to 2020.”

No reference, no citation, no explanation, nothing. Obviously it is just a bold assertion. I give up. Who knows where this “40%” claim comes from? The leprechaun at the bottom of the garden?  And what does it actually mean?   I then turned to this.  This being Technical report No 6/2009 from the European Environment Agency. Your tax-pounds sent to Brussels at work.

Personally, I wouldn’t trust this outfit if they told me that Christmas day will fall on 25th December. And their “technical report” is replete with quotes from Greenpiss, clear evidence of data tortured until it confessed, computer models, the whole works.

First of all, what is meant by “Europe”? (click to enlarge)

That’s interesting. Turkey is in Europe. Iceland isn’t. Neither is Albania, Andorra, Armenia, Azerbaijan, Belarus, Bosnia & Herzegovina, Croatia, Georgia, Kosovo, Liechtenstein, Macedonia, Moldova, Monaco, Montenegro, Russia, Serbia, Ukraine & Vatican City. How about Aland, Faroes, Gibraltar, Abkhazia, Transnistria and the rest? Who knows? Are the Azores & Canary Islands in with Portugal and Spain? Can’t be sure but probably not. Anyway, I haven’t found the raw data (or even the tortured data), but there are some charts… (click to enlarge)

Whilst there are some notes about some of the assumptions and ‘adjustments’ made, it all seems pretty unclear.  It isn’t ideal but it isn’t too difficult to scale off the charts, put the measurements into a spreadsheet, convert to TWh and see how much “Unrestricted technical potential” the EEA reckons there is.

They seem to think that this will amount to over 73,000 TWh in 2030, based on their idiosyncratic definitions of “Europe” and “technical potential”. And that the UK’s share of this “bonanza” will amount to around under 13% of this. Deleting Turkey, Switzerland and Norway (to make “Europe” equal to the “EU” reduces the total to 66,000 TWh and boosts our “share” to a stonking 14%. Even if we look only at “offshore” and restrict “Europe” to “the EU”, our share is only 21%.

So, forty percent? Absolutely no chance based on these charts.

Naturally, depending on your definition of “Europe”, the “UK”, and “Wind Energy” I guess you can prove anything you want to, especially if practical considerations (let alone commercial considerations) don’t matter. The fact that I haven’t found a sensible source for the 40% claim doesn’t mean it doesn’t exist somewhere. But this widely quoted Greenie claim looks like the usual dishonest hyperbole. And, in any case 40% of something that is eyewateringly expensive and almost completely useless is still not worth a fart.


Enter your email address below

Buy the Guide here

AM on Twitter

Dump the Banks, put some of your money in Gold and Silver

Email Me

autonomousmind@hotmail.co.uk

Bloggers for an Independent UK

Autonomous Mind Supports

Autonomous Mind Archive