Tee hee

Jeremy Corbyn was accused of hypocrisy yesterday after an investigation found that two authorities controlled by his party avoided paying more than £12 million in stamp duty on the purchase of commercial properties.

On Monday Mr Corbyn hinted that the Queen should apologise if the offshore investment of £10 million of her personal wealth — as revealed in the leaked Paradise Papers — was designed to avoid tax. Yet in May Sefton council in Merseyside bought the New Strand shopping centre in Bootle via a Luxembourg-registered company for £32.5 million, saving £1.6 million in stamp duty. The council also bought insurance against the possibility that the taxman might chase it for payment.

In July Warrington council agreed to pay more than £200 million for Birchwood Park, a business centre in Cheshire, via an offshore company, saving almost £10.5 million in stamp duty. By agreeing to the purchases, the councils may also have helped the sellers to avoid capital gains tax.

I look forward to Snippa telling us that the State not paying taxes biases markets, makes them unfree.

13 thoughts on “Tee hee”

  1. None of this surprises me. These councils will have had a keen interest on the tax consequences of these transactions.

    Murphy has no idea how government actually works. Never seen it from the inside, no desire to find out.

  2. Mysteriously this doesn’t appear in the “All you need to know” article about the Paradise Papers on the BBC website.

    Great title, “All you need to know”. Listen peasants, don’t find out stuff from other outlets or even the primary sources, just you rest your little minds with something we have prepared for you.

  3. “Mysteriously this doesn’t appear in the “All you need to know” article about the Paradise Papers on the BBC website.”

    Neither does the fact that the BBC pension fund’s top 4 investments are Amazon, Google, Facebook and a Chinese holding company registered in the Cayman Islands.

  4. Good to see the council investing taxpayers money wisely. I assume Warrington and Stefton councils are experts in commercial property investments.

    Somewhere on the other side of those deals are people shaking their heads and laughing while they open a bottle of Krug.

  5. @MC

    When these commercial property deals go bad (and they will) the excuse for over paying for an under performing asset will be that it was for ‘social’ reasons (save jobs, create jobs etc).

    They fact that each one of the ‘saved’ or ‘created’ jobs will cost north of £1M each is irrelevant.

  6. Nothing on Ritchie’s blog so far. I wondered if he had burnt his bridges with Labour so badly that he might comment but it seems he is keeping quiet in the hope of a future job or peerage. Maybe he has realised that the SNP is not going to deliver either.

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