Tax dodging of overseas rental income the UAE
Discussion
The times has a heart warming article about large scale tax avoidance by brits on uk property. 13,000 properties and only 1900 declarations of overseas earnings.
https://www.thetimes.co.uk/article/48324c1a-7c5a-4...
What do you think should be done about these lovable scamps?
https://www.thetimes.co.uk/article/48324c1a-7c5a-4...
What do you think should be done about these lovable scamps?
eyebeebe said:
Surely this is tax evasion and not avoidance, as claimed in the article?
Tax evasion is a dirty word. Forget.. Didn't realise.. where not aware.. honest mistake. All of these things can describe the unfortunate people that, through no fault of their own, have somehow managed to buy a property in UAE, rent it out and then [insert excuse] not pay any tax on the income.
catso said:
Not read the article but personally, I don't see why UK government should have any business taxing income earned in another country. Surely it's up to the country in question as to whether that income is taxable?
If the tax paper is resident in the UK and therefore uses services paid for by UK taxation should be not pay taxes on his income.catso said:
Not read the article but personally, I don't see why UK government should have any business taxing income earned in another country. Surely it's up to the country in question as to whether that income is taxable?
The tax payers (actually, tax evaders in this case) are resident in the UK. It doesn't matter where the income is generated.Stay in the UK, get free healthcare and live in a modern country, pay your way.
CraigyMc said:
catso said:
Not read the article but personally, I don't see why UK government should have any business taxing income earned in another country. Surely it's up to the country in question as to whether that income is taxable?
The tax payers (actually, tax evaders in this case) are resident in the UK. It doesn't matter where the income is generated.Stay in the UK, get free healthcare and live in a modern country, pay your way.
I've said it before but i think everyone should have an earnings account that every single bit of income they receive must go through. You get found with anything else and it gets confiscated. Would simplify the tax system no end. A flat rate paid on it all, no allowances, no BIK , the same for every single person.
Would do away with capital gains, inheritance tax etc and make it easier to nail those taking the proverbial, imo.
Would do away with capital gains, inheritance tax etc and make it easier to nail those taking the proverbial, imo.
FWIW, I haven't read the article, but I believe - because I do know someone who decided this was a 'good idea' - they properties in question are in the Uk and owned by UK taxpayer, but through an overseas company they set up in Dubai.
I think you can do this pretty easily. Like all those get rich quick schemes and tax loopholes though....
I think you can do this pretty easily. Like all those get rich quick schemes and tax loopholes though....
Digga said:
FWIW, I haven't read the article, but I believe - because I do know someone who decided this was a 'good idea' - they properties in question are in the Uk and owned by UK taxpayer, but through an overseas company they set up in Dubai.
I think you can do this pretty easily. Like all those get rich quick schemes and tax loopholes though....
I know someone who has mentioned similar. The premise is that you set up a business in Dubai and make it the ultimate holding company for your UK business. You pay yourself a wage to cover basic living (mortgage, cars etc) in the UK on PAYE to keep hmrc happy, but then transfer all profits to Dubai. You then have a handy credit card from your Dubai company bank that you use in the UK for all your spending beyond your day to day essentials covered by the PAYE income. Personally I wouldnt touch it with a barge pole. Dubai is run by a royal family who can move the goalposts on a whim, I see it as very high risk from both ends.I think you can do this pretty easily. Like all those get rich quick schemes and tax loopholes though....
M1AGM said:
Digga said:
FWIW, I haven't read the article, but I believe - because I do know someone who decided this was a 'good idea' - they properties in question are in the Uk and owned by UK taxpayer, but through an overseas company they set up in Dubai.
I think you can do this pretty easily. Like all those get rich quick schemes and tax loopholes though....
I know someone who has mentioned similar. The premise is that you set up a business in Dubai and make it the ultimate holding company for your UK business. You pay yourself a wage to cover basic living (mortgage, cars etc) in the UK on PAYE to keep hmrc happy, but then transfer all profits to Dubai. You then have a handy credit card from your Dubai company bank that you use in the UK for all your spending beyond your day to day essentials covered by the PAYE income. Personally I wouldnt touch it with a barge pole. Dubai is run by a royal family who can move the goalposts on a whim, I see it as very high risk from both ends.I think you can do this pretty easily. Like all those get rich quick schemes and tax loopholes though....
Can only read the first few paragraphs due to paywwall; but the article starts by mentioning that 22k citizens own property in Dubai, but only 1900 UK residents are declaring income. The difference between citizen and resident is very important so it seems like the article is a load of s
t (unless they mention the number of UK residents in the bit you have to pay to read).
t (unless they mention the number of UK residents in the bit you have to pay to read).Gassing Station | News, Politics & Economics | Top of Page | What's New | My Stuff