Giggle

Michael O’Connor says:
July 3 2018 at 10:43 am
Richard, just wonder about you saying that HMRC doesn’t do anything to estimate the ‘policy gap’ which you correctly describe as resulting from “tax laws granting exemptions, tax liability deferrals or preferential tax rates”. HMRC does publish such estimates for VAT as well as other taxes in its annual ‘Estimated Costs of principal tax reliefs’ publication. For VAT, this came to near £50bn in 2016/17, with the two major components being the cost of zero-rating for Food and for New Dwellings.

Reply
Richard Murphy says:
July 3 2018 at 11:23 am
How reliable are these numbers?

Why are they not published as part of the tax gap?

Because they’re not part of the tax gap?

4 comments on “Giggle

  1. So Murphy thinks that the policy gap ought to be included as part of the tax gap?

    Doesn’t that mean that, and I cannot believe I’m thinking this, Spud’s tax gap estimate of £120bn was too low?

    By it’s own insane standards, obviously.

  2. If I understand the logic of the great potato head, Murphy’s latest argument due to his recent MMT epiphany (or jump on the bandwagon) is that the sole function of tax is to control inflation.

    If his mythical enormous gap tax were ever collected, presumably we’d be plunging into deflation which he believes to be a far greater danger.

  3. Bravefart

    “If his mythical enormous gap tax were ever collected, presumably we’d be plunging into deflation which he believes to be a far greater danger.”

    No, that’s not correct?

    It’s Tuesday. MMT (and tax controlling inflation) is usually on Mondays?

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