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Nigel Green slams call to prosecute those

18 Jun 14

DeVeres chief executive Nigel Green has slammed calls for professionals, including financial advisers, to be prosecuted for advising on tax avoidance schemes.

DeVeres chief executive Nigel Green has slammed calls for professionals, including financial advisers, to be prosecuted for advising on tax avoidance schemes.

Green made the comments in response to a series of amendments to the Finance Bill which were tabled by Dover MP Charlie Elphicke, including one which would make it illegal for lawyers, accountants and financial advisers to advise clients to actively avoid tax.

Elphicke, a former tax lawyer himself, told The Times on Monday: “You shouldn’t just go after the client, you should go after the person who advises them.”

In response Green said: “For someone who had a career as a tax lawyer, it seems bizarre that Mr Elphicke appears unaware of the differences between tax avoidance, which is perfectly legal and can form a sensible part of a robust tax planning strategy, and tax evasion, which is illegal and therefore punishable under the law.

“The notion that it will be illegal to advise someone on legally mitigating their tax liabilities is surely flawed.”

He added that the idea is not only flawed but “utterly disingenuous” and suggested if politicians are unhappy with the system as it currently stands, it is MPs who need to answer questions, as they have the power to change the laws.

“Maybe there is indeed a need to overhaul the complex system but it is not financial advisers who can do this,” added the CEO.

“Previously, in an attempt to score political points on this issue, certain MPs and so-called ‘activists’ have attacked high-profile individuals and firms who had been legally reducing their tax burdens.  This was in an attempt to damage their reputation and subsequently swing the court of public opinion in their favour.

“Now it would seem the next targets on this misguided mission for tax reform are professionals such as lawyers, accountants and financial advisers.

“It would appear that Mr Elphicke, and others, are determined to try and make tax a moral issue.  Tax is not and never should be a question of morality.  Tax is a legal impost and it is a duty of all citizens and firms to adhere to the law and arrange their financial affairs in order to pay the required amount set by the government.”
 

Tags: DeVere Group | Nigel Green | Tax Avoidance

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International Adviser covers the global intermediary market that uses cross-border insurance, investments, banking and pension products on behalf of their high-net-worth clients. No news, articles or content may be reproduced in part or in full without express permission of International Adviser.