Celebrities who use tax avoidance schemes are being prevented from getting knighthoods and other honours, it was claimed last night.
Nominees have their tax affairs analysed by senior tax officials who assign a rating to each which is then sent to the honours committee and the prime minister, the Times reported.
A document seen by the newspaper details how each nominee is rated using a ‘traffic light system,’ with green for low risk, amber for medium and red for high.
‘Poor tax behaviour is not consistent with the award of an honour,’ the memo between HM Revenue and Customs (HMRC) and the Cabinet Office notes.
Leaked emails suggested David Beckham (pictured) was denied a knighthood when the taxman intervened. He is said to have referred to the honours committee as ‘a bunch of c***s’
Last year leaked emails suggested David Beckham was denied a knighthood when the taxman intervened.
The footballer and former England captain, who invested in a scheme challenged by HMRC, is said to have referred to the honours committee as ‘a bunch of c***s.’
And he also allegedly wrote ‘everything is and was above board,’ in response to a message indicating he had been flagged by the taxman.
The discovery will prompt speculation about why other figures such as Gary Lineker, Robbie Williams and Wayne Rooney have been overlooked for honours.
Former England captain Rooney, who is the country’s leading goalscorer, gives vast sums of money to children’s charities but was found to have sheltered £12.5million in the Invicta 43 film scheme, which left him facing a potential £3.5million bill. He has no OBE.
TV presenter Lineker did receive an OBE in 1992 but has not been honoured since, despite working for various charities tackling issues ranging from refugees to leukaemia.
TV presenter Gary Lineker (pictured during BBC coverage of the World Cup) received an OBE in 1992 but has not been honoured since, despite working for various charities
He was among the investors in media partnerships run by Ingenious, which sold tax-efficient investments in Hollywood films but was denied tax breaks by HMRC.
A tribunal case found that the partnerships were trading legitimately but investors were not entitled to offset their investments against income.
A table in the document sets out which ‘tax behaviours’ lead to which of the three ratings, the Times reported.
An amber warning, which is applied to people whose tax affairs could be ‘likely to cause adverse comment,’ can be given to an individual ‘currently participating in one or more avoidance schemes.’
And red lights can go to people on HMRC’s Managing Serious Defaulters programme, as well as those who invest in tax havens if they show ‘evidence of offshore evasion.’
The warnings can be time-limited, with candidates getting a green light if three years have passed with no cause for concern over their affairs.
The discovery will prompt speculation about why other figures such as Robbie Williams (pictured at the World Cup opening ceremony) have been overlooked for honours
The fact the warnings expire could explain why the late comedian Ken Dodd received a knighthood last year, despite a prosecution for tax evasion in 1989.
A green light is still given to nominees who use the controversial practice of using ‘personal service companies’ employed by the BBC to pay some of its highest earning presenters, the Times reported.
The document was disclosed to the newspaper under instructions from new information commissioner Emma Denham, who is known as a staunch advocate of government transparency.
She has also ordered the government to reveal details of the vetting role played by lord-lieutenants, which was previously unknown.
HMRC sharing information with the honours committee is an exception to the traditional principle that the taxman is forbidden from sharing individuals’ private affairs.
The post Celebrities who use tax avoidance schemes ‘are blocked from getting knighthoods’ appeared first on Article Pub.
from WordPress https://ift.tt/2oqaHOS
No comments:
Post a Comment