Tax avoidance (organised by expensive teams of accountants) is perfectly legal. Yet it comes at the expense of millions of hard-working people who are not in a position to exploit such loopholes and have to bear the brunt of subsequent cuts in public services and increases in their own taxes.
Those workers on Pay-As-You-Earn tax arrangements have no means of lowering their Inland Revenue bills because tax is removed from their pay packets every month, along with their National Insurance Contributions (NIC) – which have now lost their original purpose as payments towards state pensions and social security, and are simply another form of income tax. Remember, too, that the vast majority of these ordinary taxpayers have had pay-freezes – and that the Government has not increased their tax-free allowances in line with inflation.
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