Five questions answered on the call to ban "insider" tax accountants

What are "insider" tax accountants?

A report from the Commons Public Accounts Committee released today has called for a ban on ‘insider’ tax accountants. We answer five questions on the latest issue surrounding tax avoidance in the UK.

What are so-called ‘insider’ tax accountants?

According to the report, they are external accountants that also work inside government. The accountants are seconded to work in government to advise on changes to tax law.

What are MPs’ main problem with this working practice?

They believe that the HM Revenue and Customs (HMRC) can not win the battle against tax avoidance with these ‘insider’ accountants working in the system as they can gleam insider knowledge of the tax system and advise their clients of loopholes.

They also called for a ban on firms being used by the public sector if they had been selling tax avoidance schemes.

It has been called a ‘ridiculous conflict of interest’.

What else did the report say?

It also suggested that tax officiald were outnumbered by well-resourced accountancy firms, and that the big four accountancy firms employed about 9,000 staff a year and earned £2bn a year from their tax work in the UK.

The report said: "We have seen what look like cases of poacher turned gamekeeper, turned poacher again, whereby individuals who advise government go back to their firms and advise their clients on how they can use those laws to reduce the amount of tax they pay.”

What are those in the know saying?

Jim Harra, director-general of business tax at HMRC, told the BBC: "Clearly they [tax accountants seconded to the government] do go back out with some expertise and they do advise on how to use the legislation. We watch very carefully what advice accountants are giving to their clients.

"Provided that advice is how to use the legislation in accordance with the way Parliament intended it to be used, then we have no problems with that."

What else are the government doing to combat tax avoidance?

Last year the HMRC announced that it would invest a further £77m to expand its anti-avoidance and evasion work.

In recent months the government has come under pressure to do something about the tax avoidance, which has regularly hit the headlines with companies such as Starbucks, Amazon and Google being criticised for the amount of tax they pay in the UK.

Photograph: Getty Images

Heidi Vella is a features writer for Nridigital.com

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Diane Abbott tweeting the fake lesbian quote won’t detract from Theresa May’s gay rights record

The shadow home secretary tweeted a quote about lesbians which can’t be traced to the Prime Minister.

Diane Abbott has deleted her tweet of a quote that’s been whizzing around Twitter, supposedly attributed to Theresa May.

The meme suggests that the Prime Minister, when a councillor in Merton and Wimbledon in the Eighties, once said: “Curbing the promotion of lesbianism in Merton’s schools starts with girls having male role models in their lives.”


Twitter screengrab

But there is no evidence available to prove that May ever said this. The quotation was investigated by Gay Star News and BuzzFeed when it started being shared ahead of the election. Just like Dan Hannan's pictures from his country walk and erm, pretty much every pro-Leave politician suggesting the NHS would get £350m extra a week after Brexit, Abbott’s tweet was a bad idea. It’s good she deleted it.

However, this doesn’t take away from Theresa May’s poor track record on gay rights, which has been collated by PinkNews and others:

1998: She voted against reducing the age of consent for gay sex.

1999: She voted against equalising the age of consent, again.

2000: She voted against repealing Section 28, and Vice has uncovered an interview she did in her forties with a student paper when she said “most parents want the comfort of knowing Section 28 is there”, referring to the legislation stopping “the promotion of homosexuality in schools”.

2000: She did not show up to another vote on making the age of consent for gay people equal to the one for straight people.

2001: She voted against same-sex adoption.

2002: She voted against same-sex adoption, again.

2003: She did not vote on repealing Section 28.

2004: She missed all four votes on the gender recognition bill. (But she did vote in favour of civil partnerships this year).

2007: She missed a vote on protecting gay people from discrimination (the part of the Equality Act that would prevent b&bs and wedding cake makers discriminating against gay people, for example).

2008: She opposed IVF for same-sex couples, voting in favour of a child needing a “father and mother” before allowing a woman to have IVF treatment.

Since then, May has softened her stance on gay rights, apologised for her past voting record, and voted in favour of same-sex marriage. “I have changed my view. If those votes were taken today, I would take a different vote,” she said.

But your mole can think of at least one politician who’s always been on the right side of history regarding gay rights. Diane Abbott.

I'm a mole, innit.