Not a tax haven.

[oldmanxfella]

 

I can see them getting pissed off with the 0/10 regime and similar schemes in Ireland, Luxembourg etc which are designed to attract companies merely for the tax rates.

 

That's the crux of course. What other levers do you have to pull as an Island with no other economic attractions and a whole load of cost implications. If you can't offer tax incentives, there isn't a whole lot left.

A spuds and herring museum and a ceremony on Hango Hill once a year.

[the stinking enigma]

world bonnag championships

[notwell]

It seems perfectly reasonable to me that we can set personal tax rates/allowances however we like, no matter how unfair or otherwise it may seem. I really cant see how the OECD can tell us that 20% (say) is too low and must be increased, or that the tax cap it not reasonable, even if they are right.

 

I can see them getting pissed off with the 0/10 regime and similar schemes in Ireland, Luxembourg etc which are designed to attract companies merely for the tax rates.

They'll have to lump it with the zero ten. They can do fuck all about it.

 

We and other countries can set their taxes as they like.

[Andy Onchan]

 

 

Our esteemed leader was just on the radio warning of the next attack.

 

He says the OECD is now looking at tax rates.

 

I suspect that they are referring to Corporate rates (which can be seen a harmful internationally) and not personal tax rates. Anyone here have any insight or more detailed info to this?

 

It's no wonder the OECD want everyone to pay their fair share.... just look at 2014's accounts:

 

http://www.oecd.org/officialdocuments/publicdisplaydocumentpdf/?cote=BC%282015%2913&docLanguage=en

 

With total Employee Benefits exceeding EUR2.0 billion and annual operating expenses in excess EUR600 million of it's no wonder they're keen to chase member states. Talk about jobs for the boys!

 

If it were me I'd tell 'em to GFY!

 

The quango to end all quangos. Maybe someone should do an audit visit on them.

 

 

Ah, but it was a French auditor... nes pas??

[pongo]

Ah, but it was a French auditor... nes pas??

n'est-ce pas

[Andy Onchan]

 

Ah, but it was a French auditor... nes pas??

n'est-ce pas

 

 

Whatever... if that's all you have to worry about then mange tout Rodders!

[thesultanofsheight]

 

It seems perfectly reasonable to me that we can set personal tax rates/allowances however we like, no matter how unfair or otherwise it may seem. I really cant see how the OECD can tell us that 20% (say) is too low and must be increased, or that the tax cap it not reasonable, even if they are right.

 

I can see them getting pissed off with the 0/10 regime and similar schemes in Ireland, Luxembourg etc which are designed to attract companies merely for the tax rates.

 

They'll have to lump it with the zero ten. They can do fuck all about it.

We and other countries can set their taxes as they like.

I think when you get into zero territory that's not quite right.

 

They eventually got places for offering exemptions from tax so we then moved to tax; but tax at a rate of zero percent. I think we will have to move from that at some stage just like we had to move from exempting income from tax. A move to 5% would hardly hurt anyone as most companies would be able to turn that into an effective rate of zero anyway. That's why the banks and insurance companies elected to stay taxed at 10%. It allows them to write off most of their taxable profits against investments into the business anyway. I'm sure 5% would be fine for any trading companies.

Edited April 27, 2016 by thesultanofsheight

[Tweek]

G5 after us?

 

 

http://www.manxradio.com/news/isle-of-man-news/more-tax-troubles-for-iom-on-the-horizon/

 

Worrying.

 

ETA: correct link

Edited April 27, 2016 by Tweek

[rmanx]

Watched an interesting program about Pueto Rico last night and there are some scary similarities with the IOM and its reliance on HNWI and 0% Corporation Tax.

[Phillip Dearden]

 

 

It seems perfectly reasonable to me that we can set personal tax rates/allowances however we like, no matter how unfair or otherwise it may seem. I really cant see how the OECD can tell us that 20% (say) is too low and must be increased, or that the tax cap it not reasonable, even if they are right.

 

I can see them getting pissed off with the 0/10 regime and similar schemes in Ireland, Luxembourg etc which are designed to attract companies merely for the tax rates.

They'll have to lump it with the zero ten. They can do fuck all about it.

We and other countries can set their taxes as they like.

I think when you get into zero territory that's not quite right.

 

They eventually got places for offering exemptions from tax so we then moved to tax; but tax at a rate of zero percent. I think we will have to move from that at some stage just like we had to move from exempting income from tax. A move to 5% would hardly hurt anyone as most companies would be able to turn that into an effective rate of zero anyway. That's why the banks and insurance companies elected to stay taxed at 10%. It allows them to write off most of their taxable profits against investments into the business anyway. I'm sure 5% would be fine for any trading companies.

 

 

I think this is very wrong!

 

Much of our economy is based on 0% tax and without it, that element is threatened. A move to 5% would be significant and not in a good way!

 

The banks went from 20% to 10% and so received a tax rate reduction. In some cases they are taxed elsewhere as well and so IOM tax is a credit against foreign tax. Do Insurance cos pay tax at 10%, I think that would surprise many of them.

 

Notwell says the rest of the world can do nothing about our tax rates, I hope he is right but worry that he might not be.

[notwell]

You can't stop a country setting it's own tax rates. No matter what they are. I don't see anyone dictating to the UK about their corporate tax rates and they probably cause more damage to their "eu allies" than we do or ever will.

 

What it comes down to is the rules of a country in relation to what does on both revenues arising within it and outside of it if you trade from it.

 

For example, the UK create the rules that allow Google, Facebook and the like to pay very little if any tax. They could have said, right from the get go, that every single penny of revenue raised in relation to the UK will be fully taxed. They've chosen not to and as a result they are sat in Ireland paying nothing or next to nothing. The Irish government were more than happy to do it and as a result there are some massive operations there. Do you think they are going to allow other countries to dictate what tax they do or don't charge?

They can't dictate to Ireland what they charge. What they can dictate is that Google or Facebook (for example) will be banned from trading in the UK unless all uk income arising is taxed. But the problem they face then is that (a) they have to apply the rules to absolutely everyone and (b) applying those rules to absolutely everyone will have a huge economic impact on many businesses in the UK (who rely pretty much totally on Facebook and/or Google to operate their business).

 

Most governments (especially the UK and US) are more than complicit in tax avoidance. They need it in fact.

[woolley]

Reality check. The UK can stop us doing anything. The reason they don't is that they are complicit as you say.

[Gladys]

'They' can object to our nil rate, by putting us on a blacklist.

[notwell]

I don't agree.

 

Countries cannot dictate to companies how they conduct their business externally.

What they can expect is that there is a level of transparency from other countries where those companies do business. The IOM has been at the forefront of that in relation to the OECD et al and can't really do much more.

 

The world is not busy dictating to each other on how much to charge for a commodity when it is pulled out of the ground so waht is the difference here? If it's cheaper to do it in Russia rather than Scotland then that is life and the competitive world.

 

What next? Telling China that they must pay the UK minimum wage to make manufacturing fair?

[Gladys]

Surely you have listened to Mr Bell on MR and have seen the press releases?