I have two issues with Labour’s Corporate Tax policies, WanChai:
The first issue that I take is with the fundamental dishonesty of Labour’s position. In essence, they are running a ‘webuyanyvote.com’ campaign on the basis that ‘someone else’ is going to be paying. That simply isn’t true. Businesses employ people, provide goods and services to people and pay dividends to people either directly or into pension funds that will provide for people’s retirement. It follows that taking money from business involves taking money from people. No amount of dissembling or muttering about ‘neoliberals’ changes that fundamental fact.
The second issue that I have with Labour is that their plan will raise corporate taxes to the point where they are taking more in corporation tax than any other G7 country.
Higher corporate tax rates will costs jobs and tax revenues in the UK. This article touches upon the outflow of business at the end of the last Labour government and the inflow after reductions in the UK corporate tax burden:
https://taxfoundation.org/tax-reform...ax-inversions/
It’s probably written by ‘neoliberals’ and so doesn’t count, but the Guardian reported on the return of one UK company from Ireland (one of a number) in response to tax changes under the coalition:
https://www.theguardian.com/business...ised-return-uk
In answer to the Guardians question as to how many others would follow, at least one of the companies mentioned, Informa, returned to the UK in 2014:
https://informa.com/investors/shareh...ns/redomicile/
Finally, here is a useful source of advice for business owners:
https://smallbusiness.co.uk/move-uk-...eland-2542369/
Those changes took place in response to tax alone. How do you think companies are going to react to Labour’s 10% nationalisation plan?
It is of course correct that there are numerous drivers upon where a company chooses to employ people and have its tax base (and the those two aren’t the same thing). Amongst other reasons, the UK is attractive because we speak English, have a relatively well educated workforce, are a stable democracy and have the best corporate lawyers and commercial court system in the world.
They are all important factors, but to argue - as you seem to be doing - that they matter, but tax rates don’t is nonsensical. You either accept reality or you don’t – you can’t cherry-pick based upon the bits that suits your political allegiance.
Last edited by KerrAvon; 07-12-2019 at 08:54 AM.
You have me confused a little animal.
You despise the Tories and the EU and say short term / mid term we will take a hit and I agree. What I don't agree with is the working man will eventually be better off long term.
The Utopian Brexit deal you mention is / was being driven by politicians, the same politicians you agreed with in a referendum.
Name me three things how you will be better off personally when we come out of the EU.
Kerr. Im not arguing that tax rates dont matter. Read what I wrote.
In terms of your 'How to move to Ireland' article. If it were so we'd all be there. The truth is we are not. So yes tax is a factor, however the market proves it must be way down the list of motivator.
My mate who import widgets from France and installs them in the UK could not operate his business from Ireland. Its just a fact.
I'll read the other articles and come back to you later as just traveling.
Just a quick point on investment.
Higher corp tax wont automatically kill off investment. Corp tax deductable. So in the real world not automatic that higher corp tax will kill off investment that leads to job creation.
Just saw on news that Corbyns documents on nhs was posted by the Russians ffs could things get any worse
Very well put Wanchai.The northern working class tory voters will be sacrificed to feed big business and why not, the tories have always seen the northern working class as an irritating pimple on their arses...but they will serve a useful purpose in this election...cynically very tactical I would say...and like you say some will be fooled...
Last edited by rolymiller; 07-12-2019 at 12:32 PM.
There's nothing to be confused about , the EU is a neoliberal dictatorship whose core interest is to big business and to the detriment of the working class in my opinion .
Anytime I'm given a one time opportunity to rid ourselves of such an organisation then as a working class man I'm going to take it .
I'm far from comfortable as the EU headed towards a United States Of Europe , it's not my flag and it never will be .
There are far too many unelected bureaucrats within the EU who whilst decision and policy makers are also unaccountable .