This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.theguardian.com/politics/2016/jan/27/cameron-defends-google-tax-deal-in-commons-clash-with-corbyn
The article has changed 2 times. There is an RSS feed of changes available.
Previous version
1
Next version
| Version 0 | Version 1 |
|---|---|
| Cameron defends Google tax deal in Commons clash with Corbyn | Cameron defends Google tax deal in Commons clash with Corbyn |
| (about 1 hour later) | |
| David Cameron has defended the deal under which Google has agreed to pay £130m in back taxes amid a row about whether HM Revenue and Customs should have forced the company to hand over more. | |
| The prime minister was forced into sticking up for HMRC, after the Labour leader, Jeremy Corbyn, accused the government of having one rule for multinational corporations and another for ordinary individual taxpayers. | |
| After it emerged ministers and officials had met Google officials numerous times in recent years, Corbyn said most people do not have the luxury of personal meetings to discuss their tax affairs. | After it emerged ministers and officials had met Google officials numerous times in recent years, Corbyn said most people do not have the luxury of personal meetings to discuss their tax affairs. |
| “Millions of people are this week filling in their tax returns to get them in by the 31st,” he said. “They have to send the form back, they do not get the option of 25 meetings with 17 ministers to decide what their rate of tax is. | “Millions of people are this week filling in their tax returns to get them in by the 31st,” he said. “They have to send the form back, they do not get the option of 25 meetings with 17 ministers to decide what their rate of tax is. |
| “Many people going to their HMRC offices or returning them online this week will say this: ‘Why is there one rule for big multinational companies and another for ordinary, small businesses and self-employed workers?’” | “Many people going to their HMRC offices or returning them online this week will say this: ‘Why is there one rule for big multinational companies and another for ordinary, small businesses and self-employed workers?’” |
| Following the Commons clash, Corbyn’s spokesman said: “It’s quite clear that the majority of Britain feels that this is a bad deal for the taxpayer. Not only does there need to be proper tax paid by corporations, but there needs to be openness and transparency, which is what Jeremy is calling for.” | Following the Commons clash, Corbyn’s spokesman said: “It’s quite clear that the majority of Britain feels that this is a bad deal for the taxpayer. Not only does there need to be proper tax paid by corporations, but there needs to be openness and transparency, which is what Jeremy is calling for.” |
| He said the Labour leader was considering publishing his own tax returns to put extra pressure on the prime minister to do the same. Cameron has previously said he would be “extremely relaxed” about disclosing his tax arrangements, but has not yet done so. | He said the Labour leader was considering publishing his own tax returns to put extra pressure on the prime minister to do the same. Cameron has previously said he would be “extremely relaxed” about disclosing his tax arrangements, but has not yet done so. |
| Corbyn told the Commons that the £130m to be paid by Google amounted to an effective tax rate of just 3%, but Cameron disputed this figure without saying what the actual rate was. Cameron’s response was to blame the last Labour government for failing to tackle Google’s low tax payments earlier. | Corbyn told the Commons that the £130m to be paid by Google amounted to an effective tax rate of just 3%, but Cameron disputed this figure without saying what the actual rate was. Cameron’s response was to blame the last Labour government for failing to tackle Google’s low tax payments earlier. |
| The investigation into Google was launched in 2009 under Labour and it has taken the last six years to reach a settlement. | The investigation into Google was launched in 2009 under Labour and it has taken the last six years to reach a settlement. |
| “Let’s be clear what we’re talking about here, we’re talking about a tax that should have been collected under a Labour government, raised by a Conservative government, that’s what we’re talking about,” Cameron said. | “Let’s be clear what we’re talking about here, we’re talking about a tax that should have been collected under a Labour government, raised by a Conservative government, that’s what we’re talking about,” Cameron said. |
| “I do dispute the figures that you give, it’s quite right this is done independently by HMRC. But I am absolutely clear that no government has done more than this one to crack down on tax evasion and aggressive tax avoidance.” | “I do dispute the figures that you give, it’s quite right this is done independently by HMRC. But I am absolutely clear that no government has done more than this one to crack down on tax evasion and aggressive tax avoidance.” |
| He also reeled off a list of former senior figures in Labour who he claimed should have done more to collect tax from Google. | He also reeled off a list of former senior figures in Labour who he claimed should have done more to collect tax from Google. |
| “Maybe you should start by calling Tony Blair – you can get him at JP Morgan,” he said. “Call Gordon Brown – apparently you can get him at a Californian bond dealer called Pimco. You can call Alistair Darling – I think he’s at Morgan Stanley but it’s hard to keep up. | “Maybe you should start by calling Tony Blair – you can get him at JP Morgan,” he said. “Call Gordon Brown – apparently you can get him at a Californian bond dealer called Pimco. You can call Alistair Darling – I think he’s at Morgan Stanley but it’s hard to keep up. |
| “Those are the people to blame for Google not paying their taxes, we’re the ones who got them to pay.” | “Those are the people to blame for Google not paying their taxes, we’re the ones who got them to pay.” |
| Cameron’s comments are the first time he has had to defend the deal since it was announced by George Osborne, the chancellor, as a “major success” and a victory on Friday. | Cameron’s comments are the first time he has had to defend the deal since it was announced by George Osborne, the chancellor, as a “major success” and a victory on Friday. |
| Downing Street had refused to repeat that celebratory language, merely referring to it as a good deal and insisting that HMRC was solely in charge of striking the agreement. | Downing Street had refused to repeat that celebratory language, merely referring to it as a good deal and insisting that HMRC was solely in charge of striking the agreement. |
| No 10 has refused to say when Cameron was first made aware of the amount that Google had agreed to pay. | No 10 has refused to say when Cameron was first made aware of the amount that Google had agreed to pay. |
| It has been under particular pressure since it emerged that both France and Italy are demanding much higher amounts from Google, despite the company having bigger sales operations in the UK. | It has been under particular pressure since it emerged that both France and Italy are demanding much higher amounts from Google, despite the company having bigger sales operations in the UK. |
| The prime minister is also facing growing calls to scrap taxpayer confidentiality for companies, meaning they would be forced to publish details about their tax affairs. | The prime minister is also facing growing calls to scrap taxpayer confidentiality for companies, meaning they would be forced to publish details about their tax affairs. |
| Caroline Flint, a Labour MP and former cabinet minister, called for all corporate tax affairs to be made public. | Caroline Flint, a Labour MP and former cabinet minister, called for all corporate tax affairs to be made public. |
Previous version
1
Next version