Logic Ritchie, logic

According to the Guardian:

HM Revenue and Customs‘s resource budget will be cut by 5%, but extra resources will be provided to tackle tax evasion.

This is utterly bizarre logic. In a system – and we have a tax system – you simply cannot make such claims. It is not possible.

What you can say is the resources required to collect tax are being cut with the inevitable consequence that the tax yield will fall – probably by more than £11.5 billion.

The food budget for the Worstall family is to be cut by 5%. But the budget for cake will increase. This is of course entirely possible. The budget for non-cake will fall by more than 5% leaving room for an increase in the cake budget inside the smaller overall food budget.

7 thoughts on “Logic Ritchie, logic”

  1. But you “simply cannot make such claims”.

    Poor Ritchie. He’s obviously not playing with a full deck of cards.

    In “The Numskulls”, a comic strip from The Beezer, a group of tiny men lived inside a man’s head and operated the machinery that controlled his body.

    Ritchie’s Numskulls are probably all wearing funny constrictive jackets and gibbering about tax, the rich, and how the Tory security services are spying on him.

  2. “Sir,
    The dutch courage state will increase spending on Trade Union supporters while cutting spending on rich baby-eaters. We currently spend so much on rich baby-eaters that the net effect will be to reduce our total spending.

    Does this make the arithmetic any easier?”

    My suggestion didn’t get through somehow…

  3. Thought he was supposed to be a tax expert.
    Bloody obvious how HMRC could cut the overall budget whilst increasing spending on investigating tax evasion.
    Reduce the department replies to accountants asking why their clients have been overcharged tax.

  4. The last comment I posted on his website elicited a response that even by his low standards, was abysmal – attempting to use what you or I define as logic with such a man, who appears to be borderline mentally ill, is a futile exercise…

  5. “the tax yield will fall – probably by more than £11.5 billion.”

    Wow! That’ll be worth re-visiting in a year’s time! That would be visible to the naked eye!

  6. Making fewer errors in the tax (and particularly tax credit) computer system will save more than 5% since the innocent taxpayer is required by law to write or ‘phone and point out the error and some poor downtrodden civil servant has to answer the ‘phone (or read the letter) and correct the mistake. With a 30%+ *spotted* error rate under Brown, the cost of this was horrendous.
    I say “spotted” because a lot of taxpayers (and quite a few HMRC employees) couldn’t work out what tax was due so a lot of errors were overlooked and the HMRC figures only counts the errors that were spotted.

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