HeadingNorth Posted February 19, 2011 Share Posted February 19, 2011 I've got no intention of leafiing through the accounts of Barclays, thanks very much. I'll leave that to the financial journos. They are claiming that Barclays paid betwen 1 and 2.5% tax in the UK for 2009. They are claiming no such thing. The percentage you're referring to is the amount of UK tax paid, compared to a worldwide income. It is meaningless, since only UK income is subject to UK tax. Link to comment Share on other sites More sharing options...
JFKvsNixon Posted February 19, 2011 Share Posted February 19, 2011 They are claiming no such thing. The percentage you're referring to is the amount of UK tax paid, compared to a worldwide income. It is meaningless, since only UK income is subject to UK tax. I second this post, most of Barclay's profits came overseas, and they paid their taxes on these profits overseas, surely this is the way that business and tax collecting should be done? For example should any profit Citroen make in this country be taxed here in the UK or in France? Link to comment Share on other sites More sharing options...
Cyclone Posted February 19, 2011 Share Posted February 19, 2011 Barclays Bank have admitted that they paid just £113m of Corporation Tax in 2009, despite making almost £12bn of profit. Link here Is it time that the Government actively pursued the banks to force them to pay their way? Or is it ok that they can avoid tax and still pay huge bonuses? Should we be thankful that they are here at all.. after all, they could always take their 1% contribution to a country with lower taxation. That took a close 5 seconds look to see what's been done there. Barclays WORLDWIDE profits 11.3bn, UK income tax 113mn. In other news, huge companies all over the world pay £0 UK income tax. Because they don't actually operate here, or make a loss. Hardly surprising is it! Link to comment Share on other sites More sharing options...
Cyclone Posted February 19, 2011 Share Posted February 19, 2011 Some would say we already do. The banking sector as a whole is still in debt to us. Perhaps we should send them a letter. Barclays needed a handout did they? Didn't think so. Link to comment Share on other sites More sharing options...
dvp82 Posted February 19, 2011 Share Posted February 19, 2011 It's still early on a Saturday Morning for me but i think we can safely come to the conclusion that the OP is talking bull**** Link to comment Share on other sites More sharing options...
foxy lady Posted February 19, 2011 Share Posted February 19, 2011 But Labour aren't in power any more. What can the Con Dems do about it? I'm not really sure that anyone can do anything about it. The figures quoted are for Barclay's GLOBAL PROFIT and then it is compared to the amount of UK tax. The fact is that Barclay's made relatively little profit on its UK operations and paid the correct amount of tax. Similarly Santander don't pay Spanish taxes on its UK banking profits if they have been declared and taxed here. What exactly is the problem? Link to comment Share on other sites More sharing options...
AyupJimmy Posted February 19, 2011 Share Posted February 19, 2011 Barclays needed a handout did they? Didn't think so. No they didn't need a bail out but they have seen significant benefit of reduced borrowing rates, for a significant amiunt of time, despite lending at significantly above the borrowing rate. They have also been priveleged with reduced (zero) risk due the the G'ments "we won't let the baking system fail" stance. If Barclays have paid the correct amount of Corporation tax and have nothing to hide, why did they try and disguise the £2.8m paid in taxes with employee Income Tax and Natonal Insurance Contributions? They are talking about the tax the business pays, which everyone knows have nothing to do with wat your staff pay. They just collect it. And what I don't undrstand, if Barclays have ethically (we are all in this together) played to the letter of the law, surely this is a perfect PR story to justify the bonus culture. They make their money - they pay proportionate taxes like anyone - and just like any other business, they are entitld to pay who they want what they want. If I were Chairman, I'd be shouting loud and proud? Maybe I am missing something. Link to comment Share on other sites More sharing options...
HeadingNorth Posted February 19, 2011 Share Posted February 19, 2011 It's still early on a Saturday Morning for me but i think we can safely come to the conclusion that the OP is talking bull Not entirely the OP's fault. The reports themselves were making a deliberately false comparison. He was merely taken in. Link to comment Share on other sites More sharing options...
spindrift Posted February 19, 2011 Share Posted February 19, 2011 Not entirely the OP's fault. The reports themselves were making a deliberately false comparison. He was merely taken in. Nope. Not even Barclays would pretend that its mind-boggling structure – with 30 subsidiaries in the Isle of Man, 38 in Jersey and 181 in the Cayman Islands – is unconnected with tax. Barclays did not, it is true, sell shares directly to HM Treasury during the great crash, preferring to punt them at the Qatari authorities instead. Nonetheless, it has benefited from all manner of subsidies and guarantees, whose total value to the sector the Bank of England estimates to have been worth more than £100bn in 2009. Like most of the banks, Barclays would be deep in the dustbin of history were it not for this state support. Two years on, taxpayers stare on in disbelief as Barclays' investment banking arm pushes up average pay – that's right, average – to £236,000, and chief executive Bob Diamond is rumoured to be in line for a £9m bonus. http://www.guardian.co.uk/commentisfree/2011/feb/19/taxavoidance-barclay So, the UK subsidises Barclays. In an act of accountancy sleight of hand Barclays move subsidiaries off shore to reduce tax exposure. Robert Peston also recently pointed out that banks have actually been very poor investments for their shareholders during the boom period - almost all the money seems to have been syphoned off as bonuses. Barclays just awarded its investment bankers (an effective) 20% pay rises at a time when the BofE is calling for pay restraint - while simultaneously avoiding paying its fair share of corporation tax. These businesses derive huge benefits from residing in first world countries, they ought to act responsibly and shoulder their fair share of tax. Link to comment Share on other sites More sharing options...
spindrift Posted February 19, 2011 Share Posted February 19, 2011 Barclays branches targeted in protests against tax avoidance UK Uncut mounts direct action against 50 branches as Barclays admits it paid 1% corporation tax in 2009 More than 50 branches of Barclays bank across the UK have been targeted by activists protesting against tax avoidance. The direct action by UK Uncut, taking place in more than 30 towns and cities including London, Liverpool, Manchester and Birmingham, came as Barclays was forced to admit it paid just £113m in UK corporation tax in 2009 – a year when it rang up a record £11.6bn of profits. A UK Uncut spokesman said: "We are hoping to very peacefully and legally send a big message to Barclays that paying 1% corporation tax is not really acceptable." http://www.guardian.co.uk/uk/2011/feb/19/barclays-ban-protests-tax-avoidance Link to comment Share on other sites More sharing options...
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