Government morals

PGM

it is interesting that Treasury minister David Gauke has said it is "morally wrong" to pay tradesmen such as plumbers, builders and cleaners in cash in the hope of avoiding tax.

Obviously it is right what he says, as its blatant tax evasion.

On the other hand it still doesn't feel like banks have been brought to justice!

Diddy Mau

Hello PGM

I agree, just feels like it's easier for them to go after the small fish rather than upset the big corporate companies.
Has the government brought this out to try and distract the general public, from what the banks have been allowed to get up to.

Rozzi Rainbow

I think he's got a bit of a cheek saying what he has. It's not the individual's fault if the tradesman is deliberately evading tax, it seems a bit like they (the Government) know the tradesmen are doing this and they are unable to catch them, so they're trying to pass the blame onto innocent individuals, who are by no means responsible.

I can understand if the trademsan says "if you pay me in cash and don't need a receipt I can knock it down a bit for you" then this is morally wrong, if the individual knows they are doing this to evade tax, but a lot of small businesses won't take cheques or BACS payments, so you can't just go round and say you can't pay anyone in cash anymore!

If the tax system isn't working, it's not up to Joe Public to try and fix things!

blobbyh

Rozzi Rainbow wrote: »

If the tax system isn't working, it's not up to Joe Public to try and fix things!

If we believe that, then we have no right to criticise the Greeks or any other country currently in debt crisis. Most of us aren't too upset about a little cash in hand work as long as you pay taxes elsewhere but to take cash in hand pay while abusing a country's support system through claiming benefits is clearly wrong. Similarly, no-one can plead innocence by asking to pay for a tradesman's services in cash so they can knowingly cheat the taxman. Anf if we're willing to cheat the taxman, how can we moralise about the bigger fish doing it? Just exactly who is supposed to pay fair and due tax?

Some of you may remember my old employer was in the double glazing business. The company foundered when cash in hand work became the norm rather than the exception, with the two directors pocketing most of the proceeds. The company paid for all the materials and labour used in the manufacture of the window units yet received no income for its outlay, eventually becoming insolvent and resulting in the loss of around twenty jobs. Thus the selfish actions of one or two people can hurt a much wider circle. And the tax evasion (in this case) could only happen with the co-operation of willing house holders. Forget the banks and global corporations: simply extrapolate the actions of a few rogue tradesmen here and there to a nation-wide scale and it's easy to see why tax avoidance and evasion are major social problems.

Joe public isn't totally innocent. It's tempting to receive a discount and avoid vat but we all know it's morally wrong while many tradesmen and company owners become selfish and ignorant of the bigger picture. Social and economic monetary responsibility begins personally with each and every individual and business, no matter how small: it's simply just not on to expect everyone else to pay up for your own shortfalls then blame everyone but yourself when the system breaks.