Murphaloon logic

So in other words we have a change that has no impact at all. I have yet to read the detail, but if offshore trusts are unaffected by this move then frankly it is a waste of time: these trusts are the way that non-doms hide their income from the UK. If they’re outside the scope of the new regime the whole thing is little more than a sham.

OK, so Osborne has said that non-doms don’t owe tax on some of their cash. That’s the rules.

Wouldn’t it be good to have a Chancellor who actually wanted to collect the tax owing by those who live in the UK?

But we do have a Chancellor who wants to do that. Because the non-dom’s don’t owe tax on this money according to them rules, do they?

19 thoughts on “Murphaloon logic”

  1. Two blogs on tax havens today from ‘Walther Murphy’.

    I have to admit this comment – made in response to ‘Baxter Basics MP’ (You should let him know, Lawrence!) made me chuckle:

    ‘You have an extraordinary ability to extrapolate from the irrelevant whilst ignoring the big picture

    I think your time here is running out’

  2. TIm

    Even by his standards these two posts are abysmal – little more than a barely literate reiteration of points that have been disproved dozens of times. However I think we can point out two things:

    – It must have been a fairly significant blow, having rejected the offer of employment from Mcdonnell’s team (Which I know was made) on financial grounds then see the appointment of another 8 or so advisors – which will inevitably dilute his impact on the Labour Party message under Corbyn/Mcdonnell

    – He is getting slaughtered in the mainstream media (even the Guardian seems to find him insufferable) – the number of articles pointing out the fundamental economic idiocy of ‘People’s QE’ being implemented (at least in the way he envisages it) has gone through the roof. Corbyn is a laughing stock after the Labour conference. He can’t delete these hostile articles – the genie is out of the bottle. Everyone knows he is profoundly ignorant on the subjects on which he chooses to pontificate, and that he cannot bear even the slightest correction due to his overweening ego and misplaced sense of self-regard.

    All in all, whilst I agree with the contention that he has set himself up nicely in terms of ensuring a future income stream as a rentaquote and advisor to various Left wing charities and other public sector organisations, his power hungry personality sees his chance of gaining power falling away and as a result he has his blog and very little else. That would have to be hard to take for the best of us….

  3. This is O/T (apols Tim) – except that RM recycled it – but this is David Cameron, a so called Conservative Prime Minister, in today’s Graun:

    “if we want to break the business model of stealing money”

    The context (that criminals are amongst those that also use tax havens) is irrelevant. Whether he understands what he is saying or not, he is essentially generally associating “business” with “stealing”.

  4. “trusts are the way that non-doms hide their income from the UK.”

    Non-doms don’t need to ‘hide’ their income from the UK. They could stand on a box outside Somerset House and announce through a megaphone what their off-shore income was. As long as they don’t bring it to the UK then there’s no UK tax to pay.

    How can he still be treated as a ‘tax expert’ in the media when he is so ignorant of how tax works?

  5. VP

    I find it surprising that Murphy rejected a Corbyn post solely on the basis of hard cash. Although he pretends otherwise, he does seem to appreciate a comfortable level of lifestyle but more importantly undoubtedly positively creams himself in the public eye as an oracle and man of influence. I come to the conclusion that the position must have been v junior in his view.

    I think it was short sighted of him, but I find the apparent workings of his mind increasingly bizarre.

  6. @ Bravefart

    Apart from the possible reduction in income, it would be far harder for him to dodge the tax he pays on it.

    Sorry, I meant pay all the tax that is due, of course.

  7. “if offshore trusts are unaffected by this move then frankly it is a waste of time”

    The briefest of perusals of the proposals shows that off shore trusts will be affected albeit not retrospectively going after trusts set up before someone becomes deemed domiciled.

  8. I enjoyed Iain Dale’s summary in his 100 most influential on the left (albeit 42nd is a bit kind)

    42. (NEW) Richard Murphy
    Economist
    Richard Murphy has been wrong about just about everything but is seen as the guru behind anti-austerity Corbynomics. He hasn’t been given a formal role within Team Corbyn but it woudl surprise no one if he had been angling for one.

  9. Just had a great idea.

    Any tourist coming here for a couple of weeks will be charged tax on 1/26 of their worldwide income.

    How can it not fail?

  10. I thought Murphy wanted country-by-country reporting for companies. Why not for individuals?

    Everybody should be able to have what are regarded as perks for non-doms.

    One of the reasons I was put off a job in Norway was that their punishing asset tax is levied on worldwide assets, so I would have been paying Norwegian tax on my flat in London. Is this really what Murphy thinks should happen here, there, and everywhere?

  11. Blue Eyes

    I think Murphy’s wish is a little more complicated than that.

    He would want you to pay wealth tax in Norway as imposed by their law.

    But he would also want you to pay (a newly imposed) wealth tax in the UK.

    And I’m not convinced he would allow you to have any relief from double taxation

  12. I enjoy Baxter basics – always a chirpy reference to e-cigs and punting. Quite astonishing that Murph hasn’t twigged till now.

  13. Maarten:

    Sadly, though, Iain Dale describes the Murphatollah as an “economist”.

    V-P/Bravefart:

    I think, given the nature of the beast, the Murphatollah will have made unreasonable demands of Corbyn/McDonnell – such as being made Lord Murphy of Downham Market, shadow junior minister. I also imagine that Wren-Lewis, as an Oxford Professor, will not have been too keen on being associated with Murphy, so Murphy will have been effectively excluded from McDonnell’s advisory panel.

  14. I like the way that, despite RM is utterly unconnected with Corbs, the media is using him as a stick with which to beat Labour.

    Corbyn may have been better off meeting Mirph’s pay demands, just so he could control his public pronouncements.

    The damage he is doing in the press to Jezza is literally priceless

  15. @JS
    Right .There are people on the left who are not happy with Murphy.See Martin Wolf “Two cheers for Jeremy Corbyn’s challenges… in FT ” Oh that Wolf were the perceived eminence grise behind Corbyn: stripping banks of power to create money; LVT, the whole splendid works.

Leave a Reply

Your email address will not be published. Required fields are marked *