The Deputy Prime Minister says he has uncovered evidence that hundreds of millionaires are paying a tax rate of less than 20 per cent on their earnings by using an “army of lawyers and accountants”.
In an interview with The Telegraph, Mr Clegg indicates he is willing to support the scrapping of the 50p top rate of income tax provided that millionaires are “properly” taxed in Britain.
A wide array of tax loopholes and reliefs are exploited by the wealthy to reduce their tax bills, leading to them paying overall rates on annual earnings beneath those faced by ordinary workers, he said.
Mr Clegg, who will be at Saturday\’s Liberal Democrat spring conference in Gateshead, believes that thousands more millionaires pay tax at a rate of less than 30 per cent, depriving the Exchequer of hundreds of millions of pounds a year.
He believes that a specific minimum rate of tax should be written into law
Dear God the man\’s a twat isn\’t he? This is just the US Alternative Minimum Tax. Something which, as we know, doesn\’t actually work very well.
But the important point here is that all those loopholes are written into the tax law by Parliament. Film finance, whatever. They\’re there because Parliament thinks that getting money spent on those things (special tax rates on angel investments for example) is worth the revenue lost.
Now, if you think there are too many of those loopholes then get rid of the loopholes: you\’re the people in Parliament, this is something you can already do.
Clegg, you fool, you\’re the Deputy Prime Minister. You already have the ability to get these loopholes swept away: so if that\’s what you want to do, get on with it.