Hurrah! Ritchie finally admits I\’m right!

You will recall that I\’ve been shouting about how Ritchie\’s estimations of the corporate tax gap are rubbish, yes?

For he takes the headline tax rate and the actually paid tax rate and says that the difference between the two must be the tax gap.

Entirely ignoring that some/part/most/all of this gap will be corporations making use of the allowances specifically put into the law by Pariliament so that corporations will do things that Parliament wants corporations to do.

Finally, finally, Richard agrees:

It is a persistent argument of business that the tax gap on corporate profits (which I have estimated to exceed £10 billion a year in the UK) is not the result of any form of avoidance at all, but simply the use of perfectly acceptable allowances and reliefs. And some of it may be – of course that has to be true.

Sadly, he doesn\’t see fit to give credit to the person who first pointed this out to him: nor is he prepared to change his estimates of \”tax avoidance\” for as he\’s just admitted, some/part/most/all of what he\’s calling tax avoidance is of course, by his own definition, now tax compliance.

2 thoughts on “Hurrah! Ritchie finally admits I\’m right!”

  1. Of course this isn’t the only area he is getting dreadfully wrong. For some time now he has been accusing the Channel Islands fulfilment industry of killing off UK CD retailers etc etc ad nauseum and disputed the rise of downloading. The BPI (British Recorded Music Industry) today published information that contradicts his Oracle like well researched informed and impartial views…and said that CD sales had fallen for the sixth year in a row and that downloads had increased by 30%. Just more evidence, if any was needed, that he is blind to the facts preferring to peddle the world according to Murphy views oh and of course those that pay for those views!

  2. He won’t ever admit you are right, Tim. As far as he is concerned, you are the Devil.

    Richard Murphy knows, deep down, that he talks cock but let’s face it, he’s carved out a niche for himself in writing this tosh, as have the likes of Toynbee and Monbiot, Hutton and the rest of them. There comes a sort of point of no return. If they were to say, “Er, much of what I have written and said over the past 20 years is total pants”, they’d probably need to be sent off to an institution.

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